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Urban Outfitters Inc.
URBN : NASDAQ : Services

$42.38 -0.43 | -1.00%
Today's Range: 42.16 - 42.70
Avg. Daily Volume: 1,903,000
05/23/13 - 1:40 PM ET

Financial Analysis


URBAN OUTFITTERS INC's gross profit margin for the fourth quarter of its fiscal year 2012 has increased when compared to the same period a year ago. The company has grown its sales and net income during the past quarter when compared with the same quarter a year ago, and although its growth in net income has outpaced the industry average, its revenue growth has not. URBAN OUTFITTERS INC is extremely liquid. Currently, the Quick Ratio is 2.05 which clearly shows the ability to cover any short-term cash needs. The company's liquidity has increased from the same period last year, indicating improving cash flow.

At the same time, stockholders' equity ("net worth") has greatly increased by 27.04% from the same quarter last year. Overall, the key liquidity measurements indicate that the company is very unlikely to face financial difficulties in the near future.



Income Statement Q4 FY12 Q4 FY11
Net Sales ($mil)856.83730.65
EBITDA ($mil)163.283.14
EBIT ($mil)131.9255.73
Net Income ($mil)82.5539.26


Balance Sheet Q4 FY12 Q4 FY11
Cash & Equiv. ($mil)473.81235.13
Total Assets ($mil)1797.211483.71
Total Debt ($mil)0.00.0
Equity ($mil)1354.591066.27


Profitability Q4 FY12 Q4 FY11
Gross Profit Margin40.2633.86
EBITDA Margin19.0411.37
Operating Margin15.47.63
Sales Turnover1.561.67
Return on Assets13.212.48
Return on Equity17.5117.37
Debt Q4 FY12 Q4 FY11
Current Ratio3.492.56
Debt/Capital0.00.0
Interest Expense0.00.0
Interest Coverage0.00.0


Share Data Q4 FY12 Q4 FY11
Shares outstanding (mil)146.02144.63
Div / share0.00.0
EPS0.560.27
Book value / share9.287.37
Institutional Own % n/a n/a
Avg Daily Volume1925586.02596693.0

Valuation


BUY. URBAN OUTFITTERS INC's P/E ratio indicates a premium compared to an average of 22.57 for the Specialty Retail industry and a premium compared to the S&P 500 average of 19.08. For additional comparison, its price-to-book ratio of 4.70 indicates a significant premium versus the S&P 500 average of 2.44 and a discount versus the industry average of 5.18. The price-to-sales ratio is well above both the S&P 500 average and the industry average, indicating a premium. The valuation analysis reveals that, URBAN OUTFITTERS INC seems to be trading at a premium to investment alternatives within the industry.


Price/Earnings
1 2 3 4 5
premium   discount
  Price/Cash Flow
1 2 3 4 5
premium   discount
URBN 27.11 Peers 22.57   URBN 16.10 Peers 14.79

Premium. A higher P/E ratio than its peers can signify a more expensive stock or higher growth expectations.

URBN is trading at a premium to its peers.

 

Average. The P/CF ratio, a stock’s price divided by the company's cash flow from operations, is useful for comparing companies with different capital requirements or financing structures.

URBN is trading at a valuation on par to its peers.

 
Price/Projected
Earnings
1 2 3 4 5
premium   discount
  Price to
Earnings/Growth
1 2 3 4 5
premium   discount
URBN 19.40 Peers 20.13   URBN 1.54 Peers 1.52

Premium. A higher price-to-projected earnings ratio than its peers can signify a more expensive stock or higher future growth expectations.

URBN is trading at a premium to its peers.

 

Average. The PEG ratio is the stock’s P/E divided by the consensus estimate of long-term earnings growth. Faster growth can justify higher price multiples.

URBN trades at a valuation on par to its peers.

 
Price/Book
1 2 3 4 5
premium   discount
  Earnings Growth
1 2 3 4 5
lower   higher
URBN 4.70 Peers 5.18   URBN 36.44 Peers 21.26

Average. A lower price-to-book ratio makes a stock more attractive to investors seeking stocks with lower market values per dollar of equity on the balance sheet.

URBN is trading at a valuation on par with its peers.

 

Higher. Elevated earnings growth rates can lead to capital appreciation and justify higher price-to-earnings ratios.

URBN is expected to have an earnings growth rate that significantly exceeds its peers.

 
Price/Sales
1 2 3 4 5
premium   discount
  Sales Growth
1 2 3 4 5
premium   discount
URBN 2.28 Peers 1.33   URBN 12.98 Peers 10.72

Premium. In the absence of P/E and P/B multiples, the price-to-sales ratio can display the value investors are placing on each dollar of sales.

URBN is trading at a significant premium to its industry.

 

Higher. A sales growth rate that exceeds the industry implies that a company is gaining market share.

URBN has a sales growth rate that exceeds its peers.

 

 

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