J.P. Morgan analyst Matthew Boss downgrades $Urban Outfitters (URBN.US)$ to a hold rating, and adjusts the target price from $42 to $46.
According to TipRanks data, the analyst has a success rate of 50.9% and a total average return of 1.0% over the past year.
Furthermore, according to the comprehensive report, the opinions of $Urban Outfitters (URBN.US)$'s main analysts recently are as follows:
The outperformance at Anthropologie, Free People, and Nuuly has offset declines at the namesake Urban banner. Anthro and FP are considered two of the best performing apparel brands in the market, while Nuuly presents a good growth opportunity. There is belief that the Urban Outfitters flagship is laying the foundation to return to growth.
Urban Outfitters' significant beat on earnings per share, driven by strong top-line growth and improved margins, was unexpected to the upside. Despite its low valuation and the potential for positive changes, a re-rating of the multiple is still considered unlikely.
The company reported improved results for Q3, surpassing expectations in total sales, gross margin, and earnings. This performance underscores the opportunity for investors with the Urban Outfitters brand turnaround.
Note:
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Success rate is the number of the analyst's successful ratings, divided by his/her total number of ratings over the past year. A successful rating is one based on if TipRanks' virtual portfolio earned a positive return from the stock. Total average return is the average rate of return that the TipRanks' virtual portfolio has earned over the past year. These portfolios are established based on the analyst's preliminary rating and are adjusted according to the changes in the rating.
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