URBAN OUTFITTERS INC (URBN) Stock Fundamental Analysis
NASDAQ:URBN - Nasdaq - US9170471026 - Common Stock - Currency: USD
Overall URBN gets a fundamental rating of 7 out of 10. We evaluated URBN against 121 industry peers in the Specialty Retail industry. URBN gets an excellent profitability rating and is at the same time showing great financial health properties. URBN has a decent growth rate and is not valued too expensively. This makes URBN very considerable for quality investing!
1. Profitability
1.1 Basic Checks
URBN had positive earnings in the past year.
URBN had a positive operating cash flow in the past year.
URBN had positive earnings in each of the past 5 years.
Each year in the past 5 years URBN had a positive operating cash flow.
1.2 Ratios
URBN has a Return On Assets of 8.91%. This is amongst the best in the industry. URBN outperforms 82.64% of its industry peers.
The Return On Equity of URBN (16.28%) is better than 73.55% of its industry peers.
Looking at the Return On Invested Capital, with a value of 10.82%, URBN is in the better half of the industry, outperforming 76.86% of the companies in the same industry.
URBN had an Average Return On Invested Capital over the past 3 years of 9.01%. This is below the industry average of 13.08%.
The last Return On Invested Capital (10.82%) for URBN is above the 3 year average (9.01%), which is a sign of increasing profitability.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 8.91% | ||
| ROE | 16.28% | ||
| ROIC | 10.82% |
ROA(3y)6.75%
ROA(5y)5.69%
ROE(3y)12.94%
ROE(5y)11.34%
ROIC(3y)9.01%
ROIC(5y)7.79%
1.3 Margins
URBN's Profit Margin of 7.25% is amongst the best of the industry. URBN outperforms 85.12% of its industry peers.
In the last couple of years the Profit Margin of URBN has grown nicely.
Looking at the Operating Margin, with a value of 8.62%, URBN belongs to the top of the industry, outperforming 81.82% of the companies in the same industry.
In the last couple of years the Operating Margin of URBN has grown nicely.
With a Gross Margin value of 34.79%, URBN perfoms like the industry average, outperforming 44.63% of the companies in the same industry.
In the last couple of years the Gross Margin of URBN has grown nicely.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 8.62% | ||
| PM (TTM) | 7.25% | ||
| GM | 34.79% |
OM growth 3Y-1.37%
OM growth 5Y5.69%
PM growth 3Y2.02%
PM growth 5Y11.44%
GM growth 3Y1.94%
GM growth 5Y2.02%
2. Health
2.1 Basic Checks
The Return on Invested Capital (ROIC) is just above the Cost of Capital (WACC), so URBN is still creating some value.
The number of shares outstanding for URBN has been reduced compared to 1 year ago.
Compared to 5 years ago, URBN has less shares outstanding
There is no outstanding debt for URBN. This means it has a Debt/Equity and Debt/FCF ratio of 0 and it is amongst the best of the sector and industry.
2.2 Solvency
An Altman-Z score of 3.94 indicates that URBN is not in any danger for bankruptcy at the moment.
URBN's Altman-Z score of 3.94 is amongst the best of the industry. URBN outperforms 83.47% of its industry peers.
There is no outstanding debt for URBN. This means it has a Debt/Equity and Debt/FCF ratio of 0 and it is amongst the best of the sector and industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0 | ||
| Debt/FCF | 0 | ||
| Altman-Z | 3.94 |
ROIC/WACC1.17
WACC9.24%
2.3 Liquidity
URBN has a Current Ratio of 1.39. This is a normal value and indicates that URBN is financially healthy and should not expect problems in meeting its short term obligations.
URBN's Current ratio of 1.39 is in line compared to the rest of the industry. URBN outperforms 47.11% of its industry peers.
URBN has a Quick Ratio of 1.39. This is a bad value and indicates that URBN is not financially healthy enough and could expect problems in meeting its short term obligations.
With a decent Quick ratio value of 0.81, URBN is doing good in the industry, outperforming 64.46% of the companies in the same industry.
URBN does not score too well on the current and quick ratio evaluation. However, as it has excellent solvency and profitability, these ratios do not necessarly indicate liquidity issues and need to be evaluated against the specifics of the business.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.39 | ||
| Quick Ratio | 0.81 |
3. Growth
3.1 Past
URBN shows a strong growth in Earnings Per Share. In the last year, the EPS has been growing by 25.62%, which is quite impressive.
The Earnings Per Share has been growing by 15.50% on average over the past years. This is quite good.
Looking at the last year, URBN shows a small growth in Revenue. The Revenue has grown by 7.71% in the last year.
Measured over the past years, URBN shows a small growth in Revenue. The Revenue has been growing by 6.86% on average per year.
EPS 1Y (TTM)25.62%
EPS 3Y9.26%
EPS 5Y15.5%
EPS Q2Q%50.72%
Revenue 1Y (TTM)7.71%
Revenue growth 3Y6.86%
Revenue growth 5Y6.86%
Sales Q2Q%9.42%
3.2 Future
Based on estimates for the next years, URBN will show a quite strong growth in Earnings Per Share. The EPS will grow by 9.18% on average per year.
Based on estimates for the next years, URBN will show a small growth in Revenue. The Revenue will grow by 7.26% on average per year.
EPS Next Y14.23%
EPS Next 2Y11.07%
EPS Next 3Y7.29%
EPS Next 5Y9.18%
Revenue Next Year6.96%
Revenue Next 2Y6.45%
Revenue Next 3Y5.3%
Revenue Next 5Y7.26%
3.3 Evolution
When comparing the EPS growth rate of the last years to the growth rate of the upcoming years, we see that the growth is decreasing.
When comparing the Revenue growth rate of the last years to the growth rate of the upcoming years, we see that the growth is stable.
4. Valuation
4.1 Price/Earnings Ratio
A Price/Earnings ratio of 13.39 indicates a correct valuation of URBN.
76.03% of the companies in the same industry are more expensive than URBN, based on the Price/Earnings ratio.
When comparing the Price/Earnings ratio of URBN to the average of the S&P500 Index (28.22), we can say URBN is valued rather cheaply.
With a Price/Forward Earnings ratio of 11.72, the valuation of URBN can be described as very reasonable.
Based on the Price/Forward Earnings ratio, URBN is valued a bit cheaper than 71.90% of the companies in the same industry.
Compared to an average S&P500 Price/Forward Earnings ratio of 20.86, URBN is valued a bit cheaper.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 13.39 | ||
| Fwd PE | 11.72 |
4.2 Price Multiples
Based on the Enterprise Value to EBITDA ratio, URBN is valued a bit cheaper than the industry average as 66.12% of the companies are valued more expensively.
Based on the Price/Free Cash Flow ratio, URBN is valued a bit cheaper than 71.07% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 15.77 | ||
| EV/EBITDA | 6.94 |
4.3 Compensation for Growth
The low PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a rather cheap valuation of the company.
The excellent profitability rating of URBN may justify a higher PE ratio.
PEG (NY)0.94
PEG (5Y)0.86
EPS Next 2Y11.07%
EPS Next 3Y7.29%
5. Dividend
5.1 Amount
URBN does not give a dividend.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
54.51
+1.68 (+3.18%)
Chartmill FA Rating
GICS SectorConsumer Discretionary
GICS IndustryGroupConsumer Discretionary Distribution & Retail
GICS IndustrySpecialty Retail
Earnings (Last)
Earnings (Next)
Inst Owners70.52%
Inst Owner Change0.31%
Ins Owners27.66%
Ins Owner Change0.04%
Market Cap5.05B
Analysts71
Price Target58.4 (7.14%)
Short Float %13.29%
Short Ratio3.32
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
Yearly DividendN/A
Dividend Growth(5Y)N/A
DPN/A
Div Incr Years0
Div Non Decr Years0
Ex-DateN/A
Surprises & Revisions
EPS beat(2)2
Avg EPS beat(2)15.9%
Min EPS beat(2)6.97%
Max EPS beat(2)24.83%
EPS beat(4)4
Avg EPS beat(4)21.13%
Min EPS beat(4)6.97%
Max EPS beat(4)30.94%
EPS beat(8)7
Avg EPS beat(8)19.71%
EPS beat(12)7
Avg EPS beat(12)9.13%
EPS beat(16)10
Avg EPS beat(16)22.54%
Revenue beat(2)0
Avg Revenue beat(2)-1.38%
Min Revenue beat(2)-2.38%
Max Revenue beat(2)-0.38%
Revenue beat(4)1
Avg Revenue beat(4)-0.89%
Min Revenue beat(4)-2.38%
Max Revenue beat(4)0.14%
Revenue beat(8)2
Avg Revenue beat(8)-0.68%
Revenue beat(12)2
Avg Revenue beat(12)-0.97%
Revenue beat(16)4
Avg Revenue beat(16)-0.56%
PT rev (1m)-6.15%
PT rev (3m)-1.76%
EPS NQ rev (1m)-0.05%
EPS NQ rev (3m)5.95%
EPS NY rev (1m)-2.76%
EPS NY rev (3m)4.66%
Revenue NQ rev (1m)-0.08%
Revenue NQ rev (3m)-0.23%
Revenue NY rev (1m)0.02%
Revenue NY rev (3m)1.27%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 13.39 | ||
| Fwd PE | 11.72 | ||
| P/S | 0.91 | ||
| P/FCF | 15.77 | ||
| P/OCF | 10.04 | ||
| P/B | 2.04 | ||
| P/tB | 2.04 | ||
| EV/EBITDA | 6.94 |
EPS(TTM)4.07
EY7.47%
EPS(NY)4.65
Fwd EY8.53%
FCF(TTM)3.46
FCFY6.34%
OCF(TTM)5.43
OCFY9.96%
SpS59.9
BVpS26.67
TBVpS26.67
PEG (NY)0.94
PEG (5Y)0.86
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 8.91% | ||
| ROE | 16.28% | ||
| ROCE | 13.89% | ||
| ROIC | 10.82% | ||
| ROICexc | 13.16% | ||
| ROICexgc | 13.16% | ||
| OM | 8.62% | ||
| PM (TTM) | 7.25% | ||
| GM | 34.79% | ||
| FCFM | 5.77% |
ROA(3y)6.75%
ROA(5y)5.69%
ROE(3y)12.94%
ROE(5y)11.34%
ROIC(3y)9.01%
ROIC(5y)7.79%
ROICexc(3y)10.7%
ROICexc(5y)9.26%
ROICexgc(3y)10.7%
ROICexgc(5y)9.26%
ROCE(3y)11.56%
ROCE(5y)9.99%
ROICexcg growth 3Y-0.78%
ROICexcg growth 5Y7.78%
ROICexc growth 3Y-0.78%
ROICexc growth 5Y7.78%
OM growth 3Y-1.37%
OM growth 5Y5.69%
PM growth 3Y2.02%
PM growth 5Y11.44%
GM growth 3Y1.94%
GM growth 5Y2.02%
F-Score8
Asset Turnover1.23
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0 | ||
| Debt/FCF | 0 | ||
| Debt/EBITDA | 0 | ||
| Cap/Depr | 158.18% | ||
| Cap/Sales | 3.29% | ||
| Interest Coverage | 250 | ||
| Cash Conversion | 84.68% | ||
| Profit Quality | 79.57% | ||
| Current Ratio | 1.39 | ||
| Quick Ratio | 0.81 | ||
| Altman-Z | 3.94 |
F-Score8
WACC9.24%
ROIC/WACC1.17
Cap/Depr(3y)182.66%
Cap/Depr(5y)189.92%
Cap/Sales(3y)3.77%
Cap/Sales(5y)4.34%
Profit Quality(3y)N/A
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)25.62%
EPS 3Y9.26%
EPS 5Y15.5%
EPS Q2Q%50.72%
EPS Next Y14.23%
EPS Next 2Y11.07%
EPS Next 3Y7.29%
EPS Next 5Y9.18%
Revenue 1Y (TTM)7.71%
Revenue growth 3Y6.86%
Revenue growth 5Y6.86%
Sales Q2Q%9.42%
Revenue Next Year6.96%
Revenue Next 2Y6.45%
Revenue Next 3Y5.3%
Revenue Next 5Y7.26%
EBIT growth 1Y23.26%
EBIT growth 3Y5.4%
EBIT growth 5Y12.93%
EBIT Next Year45.51%
EBIT Next 3Y14.29%
EBIT Next 5Y13.02%
FCF growth 1Y3.38%
FCF growth 3Y48.96%
FCF growth 5Y41.48%
OCF growth 1Y-1.29%
OCF growth 3Y11.86%
OCF growth 5Y12.92%