Urban Outfitters (NASDAQ:URBN) Shares Gap Down on Analyst Downgrade

Urban Outfitters, Inc. (NASDAQ:URBN)’s stock price gapped down before the market opened on Thursday after Morgan Stanley lowered their price target on the stock from $40.00 to $38.00. The stock had previously closed at $41.48, but opened at $35.37. Morgan Stanley currently has an equal weight rating on the stock. Urban Outfitters shares last traded at $36.57, with a volume of 1,044,289 shares traded.

A number of other brokerages have also recently commented on URBN. BMO Capital Markets reduced their target price on shares of Urban Outfitters from $42.00 to $39.00 and set a “market perform” rating for the company in a report on Thursday. Barclays increased their price objective on Urban Outfitters from $50.00 to $52.00 and gave the stock an “overweight” rating in a research report on Tuesday, June 18th. UBS Group boosted their target price on Urban Outfitters from $43.00 to $45.00 and gave the company a “neutral” rating in a report on Tuesday, May 28th. Jefferies Financial Group increased their price target on Urban Outfitters from $32.00 to $35.00 and gave the stock an “underperform” rating in a report on Wednesday, May 22nd. Finally, Robert W. Baird boosted their price objective on shares of Urban Outfitters from $48.00 to $50.00 and gave the company a “neutral” rating in a research note on Wednesday, May 22nd. One analyst has rated the stock with a sell rating, eight have issued a hold rating and two have issued a buy rating to the company’s stock. Based on data from MarketBeat.com, the stock presently has a consensus rating of “Hold” and a consensus price target of $42.90.

Insider Buying and Selling at Urban Outfitters

In other news, Director Harry S. Cherken, Jr. sold 5,000 shares of the company’s stock in a transaction on Friday, July 12th. The shares were sold at an average price of $48.30, for a total transaction of $241,500.00. Following the transaction, the director now directly owns 565,296 shares of the company’s stock, valued at approximately $27,303,796.80. The transaction was disclosed in a filing with the SEC, which is accessible through the SEC website. In related news, Director Harry S. Cherken, Jr. sold 5,000 shares of the firm’s stock in a transaction that occurred on Friday, July 12th. The stock was sold at an average price of $48.30, for a total value of $241,500.00. Following the completion of the transaction, the director now directly owns 565,296 shares of the company’s stock, valued at approximately $27,303,796.80. The transaction was disclosed in a document filed with the Securities & Exchange Commission, which is accessible through the SEC website. Also, insider Azeez Hayne sold 13,967 shares of the business’s stock in a transaction on Tuesday, May 28th. The stock was sold at an average price of $41.78, for a total value of $583,541.26. The disclosure for this sale can be found here. 31.80% of the stock is owned by corporate insiders.

Institutional Trading of Urban Outfitters

Hedge funds and other institutional investors have recently added to or reduced their stakes in the stock. Parallel Advisors LLC lifted its stake in shares of Urban Outfitters by 89.7% during the 4th quarter. Parallel Advisors LLC now owns 882 shares of the apparel retailer’s stock worth $31,000 after purchasing an additional 417 shares during the period. Quarry LP boosted its holdings in Urban Outfitters by 1,825.0% in the 2nd quarter. Quarry LP now owns 924 shares of the apparel retailer’s stock worth $38,000 after acquiring an additional 876 shares during the period. Spire Wealth Management lifted its holdings in Urban Outfitters by 3,700.0% in the 4th quarter. Spire Wealth Management now owns 1,140 shares of the apparel retailer’s stock worth $41,000 after buying an additional 1,110 shares in the last quarter. Northwestern Mutual Wealth Management Co. purchased a new position in Urban Outfitters in the second quarter valued at about $42,000. Finally, Meeder Asset Management Inc. purchased a new position in shares of Urban Outfitters during the 2nd quarter valued at approximately $48,000. Hedge funds and other institutional investors own 77.61% of the company’s stock.

Urban Outfitters Stock Down 11.8 %

The firm has a market cap of $3.42 billion, a P/E ratio of 11.68, a price-to-earnings-growth ratio of 1.00 and a beta of 1.51. The business’s 50 day moving average is $43.59 and its 200-day moving average is $42.19.

Urban Outfitters (NASDAQ:URBN) last issued its quarterly earnings results on Wednesday, August 21st. The apparel retailer reported $1.24 EPS for the quarter, topping the consensus estimate of $0.98 by $0.26. The business had revenue of $1.35 billion for the quarter, compared to analysts’ expectations of $1.34 billion. Urban Outfitters had a net margin of 5.66% and a return on equity of 15.36%. The company’s quarterly revenue was up 6.3% compared to the same quarter last year. During the same quarter last year, the company posted $1.10 earnings per share. As a group, equities analysts predict that Urban Outfitters, Inc. will post 3.57 earnings per share for the current year.

About Urban Outfitters

Urban Outfitters, Inc engages in the retail and wholesale of general consumer products. The company operates through three segments: Retail, Wholesale, and Nuuly. 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 apparel, accessories, intimates, shoes, and home furnishings, as well as gifts, decorative items, and beauty and wellness products for women aged 28 to 45.