Urban Outfitters (URBN) Caution into Q1 is Industry-Wide Issue; Stifel Keeps at 'Buy'
Stifel maintains its Buy rating and $48 price target on Urban Outfitters (Nasdaq: URBN) following Q4 results issued Monday night. The company posted Q4 EPS of $.59 with revenue of $905.9 million, versus consensus estimates calling for EPS of $.54 and revs of $906 million. Comparable-store sales rose 1 percent.
Analyst Richard Jaffe commented,
Jaffe notes that Urban Outfitters is aiming to refocus on its core customer (in the 18- to 28-year-old range),
Unusually cold weather should hit more than just Urban Outfitters and Jaffe is cautious on peers American Eagle Outfitters (NYSE: AEO) and Aeropostale (NYSE: ARO), as well.
For an analyst ratings summary and ratings history on Urban Outfitters, click here. For more ratings news on the retailer, click here.
Urban Outfitters, Inc. closed at $37.51 yesterday, with a 52 week range of $35.00 - $44.96.
Analyst Richard Jaffe commented,
The sales weakness at Urban Outfitters is due to: fashion misses, off pitch marketing and poor creative execution. These issues are further exacerbated by an extremely promotional environment, which exists in the young adult market today. In this environment, when a company misses on fashion they need to compete on price, resulting in deeper promotions and margin pressure.
Jaffe notes that Urban Outfitters is aiming to refocus on its core customer (in the 18- to 28-year-old range),
ensuring that the right talent is in place including the hiring of a new chief merchandising officer, improving merchandising procedures and internal communication, and infusing more creativity.
Unusually cold weather should hit more than just Urban Outfitters and Jaffe is cautious on peers American Eagle Outfitters (NYSE: AEO) and Aeropostale (NYSE: ARO), as well.
For an analyst ratings summary and ratings history on Urban Outfitters, click here. For more ratings news on the retailer, click here.
Urban Outfitters, Inc. closed at $37.51 yesterday, with a 52 week range of $35.00 - $44.96.