URBAN OUTFITTERS INC (NASDAQ:URBN) – A High Growth Momentum Stock with Strong Technical Setup

URBAN OUTFITTERS INC (NASDAQ:URBN) stands out as a high-growth momentum candidate with a solid technical setup, making it a noteworthy stock for investors seeking both earnings momentum and favorable chart patterns. The company’s strong recent performance in earnings growth, coupled with a high technical rating, suggests potential for further upside.

Growth Momentum Highlights

URBN demonstrates strong earnings and sales momentum, key factors for high-growth investors:

• EPS Growth (TTM): Up 34.7% year-over-year, with recent quarterly EPS growth accelerating to 68.1%.
• Sales Growth (TTM): Revenue increased 8.4%, with recent quarterly sales up 10.7%.
• Profit Margins Expanding: Quarterly profit margins improved to 8.15%, up from 7.35% in the prior quarter.
• Positive Earnings Surprises: The company has beaten EPS estimates in all of the last four quarters by an average of 22.3%.
• Analyst Revisions: Upward revisions for next year’s EPS estimates (+5.25% over the last three months) indicate growing optimism.

Technical Strength & Setup Quality

URBN’s technical profile is equally compelling, with a perfect 10/10 Technical Rating and an 8/10 Setup Rating, signaling both trend strength and consolidation potential:

• Strong Uptrend: Both short-term and long-term trends are positive, with the stock outperforming 94% of the market over the past year.
• Consolidation Pattern: Prices have been trading in a range between $57.47 and $75.80, with recent pullbacks offering a potential entry point.
• Support Levels: A key support zone sits at $69.22, providing a logical stop-loss area for traders.
• Low Resistance: Minimal overhead resistance suggests room for further upside if the stock breaks out.

For a deeper look at the technicals, review the full technical report for URBN.

Our High Growth Momentum Breakout Setups Screen lists more stocks with similar characteristics and is updated daily.

Disclaimer

This is not investment advice. The observations here are based on current data, but market conditions can change. Always conduct your own research before making investment decisions.