URBAN OUTFITTERS INC (URBN) Fundamental Analysis & Valuation
NASDAQ:URBN • US9170471026
65.76 USD
-1.14 (-1.7%)
Last: Mar 5, 2026, 11:45 AM
This URBN fundamental analysis includes valuation metrics, fair value assessment, financial health analysis, profitability trends, growth metrics and dividend sustainability analysis.
Taking everything into account, URBN scores 7 out of 10 in our fundamental rating. URBN was compared to 123 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 may be a bit undervalued, certainly considering the very reasonable score on growth With these ratings, URBN could be worth investigating further for value and quality investing!.
1. URBN Profitability Analysis
1.1 Basic Checks
- URBN had positive earnings in the past year.
- URBN had a positive operating cash flow in the past year.
- In the past 5 years URBN has always been profitable.
- Each year in the past 5 years URBN had a positive operating cash flow.
1.2 Ratios
- URBN has a better Return On Assets (9.28%) than 83.74% of its industry peers.
- URBN has a Return On Equity of 16.51%. This is in the better half of the industry: URBN outperforms 76.42% of its industry peers.
- URBN has a better Return On Invested Capital (12.37%) than 82.11% of its industry peers.
- Measured over the past 3 years, the Average Return On Invested Capital for URBN is below the industry average of 13.62%.
- The last Return On Invested Capital (12.37%) for URBN is above the 3 year average (11.07%), which is a sign of increasing profitability.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 9.28% | ||
| ROE | 16.51% | ||
| ROIC | 12.37% |
ROA(3y)8.4%
ROA(5y)7.54%
ROE(3y)15.47%
ROE(5y)14.62%
ROIC(3y)11.08%
ROIC(5y)10.27%
1.3 Margins
- The Profit Margin of URBN (7.54%) is better than 85.37% of its industry peers.
- URBN's Profit Margin has improved in the last couple of years.
- With an excellent Operating Margin value of 9.86%, URBN belongs to the best of the industry, outperforming 83.74% of the companies in the same industry.
- URBN's Operating Margin has improved in the last couple of years.
- URBN has a Gross Margin of 36.00%. This is comparable to the rest of the industry: URBN outperforms 49.59% of its industry peers.
- URBN's Gross Margin has improved in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 9.86% | ||
| PM (TTM) | 7.54% | ||
| GM | 36% |
OM growth 3Y26.58%
OM growth 5Y77.13%
PM growth 3Y31.31%
PM growth 5Y193.23%
GM growth 3Y6.39%
GM growth 5Y7.2%
2. URBN Health Analysis
2.1 Basic Checks
- URBN has a Return on Invested Capital (ROIC), which is just above the Cost of Capital (WACC), which means it is creating some value.
- Compared to 1 year ago, URBN has less shares outstanding
- The number of shares outstanding for URBN has been reduced compared to 5 years ago.
- URBN has no outstanding debt. Therefor its Debt/Equity and Debt/FCF ratios are 0 and belong to the best of the industry.
2.2 Solvency
- An Altman-Z score of 4.20 indicates that URBN is not in any danger for bankruptcy at the moment.
- The Altman-Z score of URBN (4.20) is better than 82.11% of its industry peers.
- URBN has no outstanding debt. Therefor its Debt/Equity and Debt/FCF ratios are 0 and belong to the best of the industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0 | ||
| Debt/FCF | 0 | ||
| Altman-Z | 4.2 |
ROIC/WACC1.31
WACC9.43%
2.3 Liquidity
- URBN has a Current Ratio of 1.51. This is a normal value and indicates that URBN is financially healthy and should not expect problems in meeting its short term obligations.
- URBN has a Current ratio of 1.51. This is in the better half of the industry: URBN outperforms 61.79% of its industry peers.
- A Quick Ratio of 0.88 indicates that URBN may have some problems paying its short term obligations.
- URBN's Quick ratio of 0.88 is fine compared to the rest of the industry. URBN outperforms 69.11% of its industry peers.
- The current and quick ratio evaluation for URBN is rather negative, while it does have 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 | 1.51 | ||
| Quick Ratio | 0.88 |
3. URBN Growth Analysis
3.1 Past
- The Earnings Per Share has grown by an impressive 24.57% over the past year.
- Measured over the past years, URBN shows a very strong growth in Earnings Per Share. The EPS has been growing by 50.81% on average per year.
- Looking at the last year, URBN shows a quite strong growth in Revenue. The Revenue has grown by 11.07% in the last year.
- URBN shows quite a strong growth in Revenue. Measured over the last years, the Revenue has been growing by 12.31% yearly.
EPS 1Y (TTM)24.57%
EPS 3Y43.66%
EPS 5Y50.81%
EPS Q2Q%0.96%
Revenue 1Y (TTM)11.07%
Revenue growth 3Y8.74%
Revenue growth 5Y12.31%
Sales Q2Q%10.12%
3.2 Future
- URBN is expected to show quite a strong growth in Earnings Per Share. In the coming years, the EPS will grow by 8.31% yearly.
- The Revenue is expected to grow by 7.21% on average over the next years.
EPS Next Y18.33%
EPS Next 2Y13.23%
EPS Next 3Y9.06%
EPS Next 5Y8.31%
Revenue Next Year8.3%
Revenue Next 2Y7.33%
Revenue Next 3Y6.73%
Revenue Next 5Y7.21%
3.3 Evolution
- The EPS growth rate is decreasing: in the next years the growth will be less than in the last years.
- When comparing the Revenue growth rate of the last years to the growth rate of the upcoming years, we see that the growth is decreasing.
4. URBN Valuation Analysis
4.1 Price/Earnings Ratio
- With a Price/Earnings ratio of 12.97, URBN is valued correctly.
- Based on the Price/Earnings ratio, URBN is valued cheaper than 80.49% of the companies in the same industry.
- The average S&P500 Price/Earnings ratio is at 27.03. URBN is valued rather cheaply when compared to this.
- The Price/Forward Earnings ratio is 10.96, which indicates a very decent valuation of URBN.
- Based on the Price/Forward Earnings ratio, URBN is valued cheaply inside the industry as 84.55% of the companies are valued more expensively.
- When comparing the Price/Forward Earnings ratio of URBN to the average of the S&P500 Index (25.11), we can say URBN is valued rather cheaply.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 12.97 | ||
| Fwd PE | 10.96 |
4.2 Price Multiples
- Based on the Enterprise Value to EBITDA ratio, URBN is valued a bit cheaper than 75.61% of the companies in the same industry.
- Based on the Price/Free Cash Flow ratio, URBN is valued a bit cheaper than the industry average as 69.92% of the companies are valued more expensively.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 18.72 | ||
| EV/EBITDA | 6.76 |
4.3 Compensation for Growth
- URBN's 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)0.71
PEG (5Y)0.26
EPS Next 2Y13.23%
EPS Next 3Y9.06%
5. URBN Dividend Analysis
5.1 Amount
- URBN does not give a dividend.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0% |
URBN Fundamentals: All Metrics, Ratios and Statistics
NASDAQ:URBN (3/5/2026, 11:45:07 AM)
65.76
-1.14 (-1.7%)
Chartmill FA Rating
GICS SectorConsumer Discretionary
GICS IndustryGroupConsumer Discretionary Distribution & Retail
GICS IndustrySpecialty Retail
Earnings (Last)02-25 2026-02-25/amc
Earnings (Next)05-19 2026-05-19
Inst Owners79.87%
Inst Owner Change-0.59%
Ins Owners28.26%
Ins Owner Change-2.47%
Market Cap5.90B
Revenue(TTM)6.17B
Net Income(TTM)464.92M
Analysts75
Price Target85.95 (30.7%)
Short Float %8.5%
Short Ratio3.19
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0% |
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)1
Avg EPS beat(2)-6.63%
Min EPS beat(2)-18.18%
Max EPS beat(2)4.92%
EPS beat(4)3
Avg EPS beat(4)6.82%
Min EPS beat(4)-18.18%
Max EPS beat(4)35.67%
EPS beat(8)7
Avg EPS beat(8)13.98%
EPS beat(12)10
Avg EPS beat(12)15.41%
EPS beat(16)10
Avg EPS beat(16)8.55%
Revenue beat(2)1
Avg Revenue beat(2)-0.29%
Min Revenue beat(2)-1.33%
Max Revenue beat(2)0.75%
Revenue beat(4)2
Avg Revenue beat(4)0.08%
Min Revenue beat(4)-1.33%
Max Revenue beat(4)1.18%
Revenue beat(8)3
Avg Revenue beat(8)-0.41%
Revenue beat(12)4
Avg Revenue beat(12)-0.43%
Revenue beat(16)4
Avg Revenue beat(16)-0.7%
PT rev (1m)-1.05%
PT rev (3m)7.22%
EPS NQ rev (1m)-0.83%
EPS NQ rev (3m)-4.41%
EPS NY rev (1m)0.85%
EPS NY rev (3m)1.84%
Revenue NQ rev (1m)-0.05%
Revenue NQ rev (3m)1.84%
Revenue NY rev (1m)0.62%
Revenue NY rev (3m)0.93%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 12.97 | ||
| Fwd PE | 10.96 | ||
| P/S | 0.96 | ||
| P/FCF | 18.72 | ||
| P/OCF | 10.26 | ||
| P/B | 2.1 | ||
| P/tB | 2.1 | ||
| EV/EBITDA | 6.76 |
EPS(TTM)5.07
EY7.71%
EPS(NY)6
Fwd EY9.12%
FCF(TTM)3.51
FCFY5.34%
OCF(TTM)6.41
OCFY9.75%
SpS68.73
BVpS31.39
TBVpS31.39
PEG (NY)0.71
PEG (5Y)0.26
Graham Number59.84
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 9.28% | ||
| ROE | 16.51% | ||
| ROCE | 15.62% | ||
| ROIC | 12.37% | ||
| ROICexc | 15.06% | ||
| ROICexgc | 15.06% | ||
| OM | 9.86% | ||
| PM (TTM) | 7.54% | ||
| GM | 36% | ||
| FCFM | 5.11% |
ROA(3y)8.4%
ROA(5y)7.54%
ROE(3y)15.47%
ROE(5y)14.62%
ROIC(3y)11.08%
ROIC(5y)10.27%
ROICexc(3y)13.34%
ROICexc(5y)12.27%
ROICexgc(3y)13.34%
ROICexgc(5y)12.27%
ROCE(3y)13.99%
ROCE(5y)12.97%
ROICexgc growth 3Y25.31%
ROICexgc growth 5Y82.41%
ROICexc growth 3Y25.31%
ROICexc growth 5Y82.41%
OM growth 3Y26.58%
OM growth 5Y77.13%
PM growth 3Y31.31%
PM growth 5Y193.23%
GM growth 3Y6.39%
GM growth 5Y7.2%
F-Score9
Asset Turnover1.23
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0 | ||
| Debt/FCF | 0 | ||
| Debt/EBITDA | 0 | ||
| Cap/Depr | 202.42% | ||
| Cap/Sales | 4.22% | ||
| Interest Coverage | 250 | ||
| Cash Conversion | 78.13% | ||
| Profit Quality | 67.76% | ||
| Current Ratio | 1.51 | ||
| Quick Ratio | 0.88 | ||
| Altman-Z | 4.2 |
F-Score9
WACC9.43%
ROIC/WACC1.31
Cap/Depr(3y)185.13%
Cap/Depr(5y)199.73%
Cap/Sales(3y)3.79%
Cap/Sales(5y)4.26%
Profit Quality(3y)85.01%
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)24.57%
EPS 3Y43.66%
EPS 5Y50.81%
EPS Q2Q%0.96%
EPS Next Y18.33%
EPS Next 2Y13.23%
EPS Next 3Y9.06%
EPS Next 5Y8.31%
Revenue 1Y (TTM)11.07%
Revenue growth 3Y8.74%
Revenue growth 5Y12.31%
Sales Q2Q%10.12%
Revenue Next Year8.3%
Revenue Next 2Y7.33%
Revenue Next 3Y6.73%
Revenue Next 5Y7.21%
EBIT growth 1Y27.02%
EBIT growth 3Y37.64%
EBIT growth 5Y98.94%
EBIT Next Year35.89%
EBIT Next 3Y15.52%
EBIT Next 5Y9.64%
FCF growth 1Y-1.63%
FCF growth 3YN/A
FCF growth 5Y20%
OCF growth 1Y14.39%
OCF growth 3Y59.15%
OCF growth 5Y15.01%
URBAN OUTFITTERS INC / URBN FAQ
Can you provide the ChartMill fundamental rating for URBAN OUTFITTERS INC?
ChartMill assigns a fundamental rating of 7 / 10 to URBN.
Can you provide the valuation status for URBAN OUTFITTERS INC?
ChartMill assigns a valuation rating of 8 / 10 to URBAN OUTFITTERS INC (URBN). This can be considered as Undervalued.
Can you provide the profitability details for URBAN OUTFITTERS INC?
URBAN OUTFITTERS INC (URBN) has a profitability rating of 8 / 10.
What is the valuation of URBAN OUTFITTERS INC based on its PE and PB ratios?
The Price/Earnings (PE) ratio for URBAN OUTFITTERS INC (URBN) is 12.97 and the Price/Book (PB) ratio is 2.1.
How financially healthy is URBAN OUTFITTERS INC?
The financial health rating of URBAN OUTFITTERS INC (URBN) is 9 / 10.