Market Overview

UPDATE: Mizuho Securities Downgrades Urban Outfitters On Expectations Of Soft 3Q And Weak 4Q Gross Margin Commentary


In a report published Friday, Mizuho Securities analyst Betty Chen downgraded the rating on Urban Outfitters, Inc. (NASDAQ: URBN) from Buy to Neutral, and lowered the price target from $36.00 to $30.00.

In the report, Mizuho Securities noted, “We are downgrading URBN to Neutral as we look for soft 3Q results and disappointing 4Q margin commentary to reinforce a lack of sequential improvement. In particular, (1) continued product issues at UO, (2) signs of slowing momentum at Anthro against difficult compares, and (3) incremental promotions suggest gross margin declines and risk to consensus. Although URBN may rein in SG&A spending, investors will likely still be disappointed with the lack of product-led strength and inconsistency in the portfolio of brands. While sentiment is likely low following the preannouncement, shares appear fairly valued at 15x.”

Urban Outfitters closed on Thursday at $31.65.

Latest Ratings for URBN

Aug 2019MaintainsNeutral
Aug 2019MaintainsHold
Aug 2019ReiteratesBuy

View More Analyst Ratings for URBN
View the Latest Analyst Ratings

Posted-In: Betty Chen Mizuho SecuritiesAnalyst Color Downgrades Analyst Ratings


Related Articles (URBN)

View Comments and Join the Discussion!

Latest Ratings

DSGXInitiates Coverage On43.0
View the Latest Analytics Ratings
Don't Miss Any Updates!
News Directly in Your Inbox
Subscribe to:
Benzinga Trading Daily
Get pre-market outlook, mid-day update and after-market roundup emails in your inbox.
Market in 5 Minutes
Everything you need to know about the market - quick & easy.
Daily Analyst Rating
A summary of each day’s top rating changes from sell-side analysts on the street.
Thank You

Thank you for subscribing! If you have any questions feel free to call us at 1-877-440-ZING or email us at

Credit Suisse Downgrades Abercrombie & Fitch To Neutral

Sterne Agee Initiates Coverage On Aftermarket Auto Parts Retailers