Urban Outfitters (NASDAQ:URBN) Shares Gap Up – Should You Buy?

Shares of Urban Outfitters, Inc. (NASDAQ:URBN) gapped up before the market opened on Monday . The stock had previously closed at $72.98, but opened at $76.00. Urban Outfitters shares last traded at $75.3110, with a volume of 127,475 shares traded.

Analyst Upgrades and Downgrades

Several brokerages have recently issued reports on URBN. JPMorgan Chase & Co. increased their target price on Urban Outfitters from $94.00 to $97.00 and gave the stock an “overweight” rating in a research report on Thursday, May 21st. Bank of America lifted their price target on Urban Outfitters from $85.00 to $90.00 and gave the company a “buy” rating in a research report on Thursday, May 21st. Morgan Stanley reaffirmed an “overweight” rating and issued a $89.00 price target on shares of Urban Outfitters in a research note on Monday, July 6th. Wall Street Zen upgraded Urban Outfitters from a “hold” rating to a “buy” rating in a report on Saturday, July 4th. Finally, Jefferies Financial Group reissued a “hold” rating and set a $72.00 price objective on shares of Urban Outfitters in a research report on Thursday, May 21st. One investment analyst has rated the stock with a Strong Buy rating, eight have issued a Buy rating and five have given a Hold rating to the stock. According to data from MarketBeat.com, the company presently has an average rating of “Moderate Buy” and a consensus price target of $87.91.

Urban Outfitters Trading Up 3.9%

The company has a market cap of $6.49 billion, a P/E ratio of 14.56, a PEG ratio of 1.35 and a beta of 1.22. The stock’s 50 day moving average is $71.99 and its 200-day moving average is $70.18.

Urban Outfitters (NASDAQ:URBN) last announced its quarterly earnings data on Thursday, May 21st. The apparel retailer reported $1.30 EPS for the quarter, beating the consensus estimate of $1.12 by $0.18. The company had revenue of $1.48 billion for the quarter, compared to the consensus estimate of $1.46 billion. Urban Outfitters had a net margin of 7.48% and a return on equity of 18.92%. Urban Outfitters’s revenue for the quarter was up 11.4% on a year-over-year basis. During the same period in the prior year, the firm posted $1.16 EPS. As a group, sell-side analysts forecast that Urban Outfitters, Inc. will post 6.13 EPS for the current year.

Insider Buying and Selling

In related news, insider Azeez Hayne sold 8,733 shares of the business’s stock in a transaction that occurred on Friday, May 22nd. The shares were sold at an average price of $73.18, for a total value of $639,080.94. The sale was disclosed in a document filed with the Securities & Exchange Commission, which is available through this hyperlink. Also, CFO Melanie Marein-Efron sold 5,036 shares of the business’s stock in a transaction that occurred on Friday, May 22nd. The stock was sold at an average price of $73.42, for a total transaction of $369,743.12. Following the completion of the transaction, the chief financial officer owned 17,023 shares of the company’s stock, valued at approximately $1,249,828.66. The trade was a 22.83% decrease in their ownership of the stock. The disclosure for this sale is available in the SEC filing. Corporate insiders own 32.10% of the company’s stock.

Institutional Trading of Urban Outfitters

Several institutional investors have recently added to or reduced their stakes in URBN. Eurizon Capital SGR S.p.A. bought a new stake in shares of Urban Outfitters in the 4th quarter worth $27,000. Brown Brothers Harriman & Co. lifted its holdings in shares of Urban Outfitters by 815.0% during the fourth quarter. Brown Brothers Harriman & Co. now owns 366 shares of the apparel retailer’s stock valued at $28,000 after purchasing an additional 326 shares in the last quarter. Salomon & Ludwin LLC lifted its holdings in shares of Urban Outfitters by 58.4% during the fourth quarter. Salomon & Ludwin LLC now owns 404 shares of the apparel retailer’s stock valued at $31,000 after purchasing an additional 149 shares in the last quarter. Spire Wealth Management boosted its position in shares of Urban Outfitters by 83.3% during the fourth quarter. Spire Wealth Management now owns 440 shares of the apparel retailer’s stock valued at $33,000 after buying an additional 200 shares during the last quarter. Finally, Richardson Financial Services Inc. boosted its position in shares of Urban Outfitters by 90.3% during the fourth quarter. Richardson Financial Services Inc. now owns 432 shares of the apparel retailer’s stock valued at $33,000 after buying an additional 205 shares during the last quarter. 77.61% of the stock is currently owned by hedge funds and other institutional investors.

About Urban Outfitters

Urban Outfitters, Inc is a global lifestyle retailer headquartered in Philadelphia, Pennsylvania. Established in 1970 by Richard Hayne, Scott Belair and Judy Wicks, the company began as a single store catering to college students in the city’s historic Old City neighborhood. Over the decades, Urban Outfitters has expanded its reach and diversified its portfolio to include multiple retail concepts addressing distinct customer segments.

The company operates through several well-known brands, each offering a curated selection of apparel, footwear, accessories and home goods.