Urban Outfitters (URBN) AI Stock Analysis

• Market Cap: $7.29B
• Dividend Yield: N/A
• Average Volume (3M): 2.57M
• Price to Earnings (P/E): 15.4
• Beta (1Y): 1.10
• Revenue Growth: 11.09%
• EPS Growth: 51.51%
• Country: US
• Employees: 11,310
• Sector: Consumer Cyclical
• Sector Strength: 84
• Industry: Apparel - Retail
• EPS (TTM): 1.28
• Shares Outstanding: 89,678,940
• 10 Day Avg. Volume: 1,910,180
• 30 Day Avg. Volume: 2,570,007
• PEG Ratio: 0.32
• Price to Book (P/B): 2.08
• Price to Sales (P/S): 0.93
• P/FCF Ratio: 16.04
• Enterprise Value/Market Cap: 0.89
• Enterprise Value/Revenue: 1.08
• Enterprise Value/Gross Profit: 3.01
• Enterprise Value/Ebitda: 9.94
• 1Y Price Target: $86.27
• Price Target Upside: 6.07% Upside
• Rating Consensus: Moderate Buy
• Number of Analyst Covering: 12
• EPS Forecast (FY): 5.29
• Revenue Forecast (FY): $6.15B

• Rating: 78 Outperform
• Price Target: $86.00 ▲(5.74% Upside)

Urban Outfitters' strong financial performance and positive earnings call are the most significant factors driving the score. The technical analysis supports a bullish outlook, although valuation is moderate due to the lack of a dividend yield. Overall, the company is well-positioned for growth, with effective management strategies and strong brand performance.

Positive Factors

Revenue Growth

Consistent revenue growth and record earnings indicate strong market demand and effective business strategies, supporting long-term expansion.

Brand Performance

Strong brand performance across segments highlights effective brand management and customer loyalty, ensuring sustained competitive advantage.

Cash Generation

Robust cash generation enhances financial flexibility, enabling strategic investments and resilience against market fluctuations.

Negative Factors

Tariff Impact

Tariff impacts on margins could pressure profitability, necessitating cost management to maintain financial performance.

Increased SG&A Expenses

Rising SG&A expenses may strain margins and require careful management to ensure sustained profitability and operational efficiency.

Tariff Pressure on Margins

Continued tariff pressures on initial margins could impact pricing strategies and necessitate adjustments to maintain competitive pricing.

Urban Outfitters Business Overview & Revenue Model

Company Description

Urban Outfitters, Inc. engages in the retail and wholesale of general consumer products. The company operates through three segments: Retail, Wholesale, and Nully. It operates Urban Outfitters stores, which offer women's and men's fashion apparel, activewear, intimates, footwear, accessories, home goods, electronics, and beauty products for young adults aged 18 to 28; and Anthropologie stores that provide women's casual apparel, accessories, intimates, shoes, and home furnishings, as well as gifts, decorative items, and beauty and wellness products for women aged 28 to 45. The company also operates Bhldn stores, which offer heirloom quality wedding gowns, bridesmaid frocks, party dresses, assorted jewelry, headpieces, footwear, lingerie, and decorations; and Terrain stores that provide lifestyle home products, garden and outdoor living products, antiques, live plants, flowers, wellness products, and accessories. In addition, it operates Free People retail stores, which offer casual women's apparel, intimates, activewear, shoes, accessories, home products, gifts, and beauty and wellness products for young women aged 25 to 30; restaurants; and women's apparel subscription rental service under the Nuuly brand name. The company serves its customers directly through retail stores, Websites, mobile applications, catalogs and customer contact centers, franchised or third-party operated stores, and digital businesses. As of January 31, 2022, it operated 261 Urban Outfitters, 238 Anthropologie Group, and 173 Free People stores in the United States, Canada, and Europe; and 10 restaurants, as well as two Urban Outfitters and one Anthropologie franchisee-owned stores. The company is also involved in the wholesale of young women's contemporary casual apparel, intimates, activewear, and shoes under the Free People brand; and home goods through department and specialty stores worldwide. The company was founded in 1970 and is based in Philadelphia, Pennsylvania.

How the Company Makes Money

Urban Outfitters generates revenue through multiple channels, primarily retail sales from its physical stores and online platforms. The company operates over 200 retail locations across North America and Europe, where it sells its branded products directly to consumers. A significant portion of its revenue also comes from e-commerce sales, which have been increasingly important, particularly in response to changing consumer shopping behaviors. Additionally, Urban Outfitters earns income through wholesale distribution, selling its products to other retailers and boutiques. The company has developed strategic partnerships with various brands and influencers to enhance its product offerings and reach a broader audience, contributing to its overall earnings. Seasonal promotions, exclusive collections, and a focus on customer loyalty through membership programs further bolster its revenue streams.

Urban Outfitters Financial Statement Overview

Summary

Urban Outfitters demonstrates strong financial health with robust growth and profitability. The income statement shows a positive trajectory with improved margins, the balance sheet reflects a stable capital structure with moderate leverage, and the cash flow statement indicates efficient cash management.

Income Statement

Urban Outfitters shows strong revenue growth with a TTM increase of 2.87%. Gross profit margin has improved to 35.67%, indicating efficient cost management. Net profit margin is healthy at 8.15%, reflecting solid profitability. EBIT and EBITDA margins are robust at 10.25% and 11.26% respectively, showcasing operational efficiency. Overall, the income statement reflects a positive growth trajectory and profitability.

Balance Sheet

The company's debt-to-equity ratio is 0.46, indicating a moderate level of leverage. Return on equity is strong at 19.33%, suggesting effective use of equity to generate profits. The equity ratio stands at 55.10%, highlighting a solid capital structure. While the balance sheet is stable, maintaining a balanced leverage is crucial for future growth.

Cash Flow

Free cash flow has grown by 17.34% in the TTM, indicating strong cash generation. The operating cash flow to net income ratio is 0.54, and the free cash flow to net income ratio is 0.86, both reflecting efficient cash management. The cash flow statement shows a healthy cash position, supporting operational and strategic initiatives.

Breakdown	Dec 2025	Dec 2024	Dec 2023	Dec 2022	Dec 2021
Income Statement
Total Revenue	5.55B	5.15B	4.80B	4.55B	3.45B
Gross Profit	1.93B	1.73B	1.43B	1.49B	861.91M
EBITDA	621.67M	491.76M	324.93M	511.41M	110.69M
Net Income	402.46M	287.67M	159.70M	310.62M	1.24M
Balance Sheet
Total Assets	4.52B	4.11B	3.68B	3.79B	3.55B
Cash, Cash Equivalents and Short-Term Investments	610.43M	465.06M	382.64M	446.00M	570.33M
Total Debt	1.10B	1.08B	1.12B	1.19B	1.33B
Total Liabilities	2.05B	2.00B	1.89B	2.05B	2.07B
Stockholders Equity	2.47B	2.11B	1.79B	1.75B	1.48B
Cash Flow
Free Cash Flow	320.25M	309.79M	-56.78M	96.89M	126.57M
Operating Cash Flow	502.83M	509.41M	142.73M	359.32M	285.81M
Investing Cash Flow	-308.77M	-521.65M	-32.01M	-487.66M	-101.90M
Financing Cash Flow	-77.11M	-12.13M	-118.40M	-60.27M	-10.42M

Urban Outfitters Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 81.33
• 50DMA: Positive
• 100DMA: Positive
• 200DMA: Positive
• MACD: Negative
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For URBN, the sentiment is Positive. The current price of 81.33 is above the 20-day moving average (MA) of 76.88, above the 50-day MA of 69.68, and above the 200-day MA of 66.46, indicating a bullish trend. The MACD of 3.91 indicates Negative momentum. The RSI at 64.92 is Neutral, neither overbought nor oversold. The STOCH value of 75.24 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for URBN.

Urban Outfitters Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
URBN	78 Outperform	$7.29B	15.38	19.34%	―	11.09%	51.51%
ANF	78 Outperform	$5.55B	11.61	40.72%	―	7.57%	1.75%
AEO	77 Outperform	$4.72B	24.03	12.36%	2.09%	-1.15%	-0.98%
GAP	76 Outperform	$10.42B	12.55	25.10%	2.30%	0.29%	3.65%
BKE	72 Outperform	$2.87B	13.79	41.26%	6.82%	4.67%	3.46%
VSCO	71 Outperform	$4.55B	27.81	31.50%	―	2.97%	9.85%
Sector *	61 Neutral	$18.38B	12.79	-2.54%	3.03%	1.52%	-15.83%

Urban Outfitters Corporate Events

Urban Outfitters Reports Record Q3 Financial Results

On November 25, 2025, Urban Outfitters announced record financial results for the third quarter and the nine months ending October 31, 2025. The company reported a net income of $116.4 million for the quarter, with total net sales increasing by 12.3% to $1.53 billion. The Retail segment saw a 9.6% rise in net sales, driven by significant growth in digital and retail store sales, while the Subscription and Wholesale segments also experienced substantial increases. The company’s diversified business model has enabled it to capture market share and sustain long-term growth, despite increased marketing and administrative expenses. Gross profit improved due to lower markdowns and efficient store occupancy cost management.