URBN Valuation

Urban Outfitters Inc

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62.405

-0.795(-1.258%)1D

URBN Relative Valuation

URBN's fair value is calculated using relative valuation, based on historical P/E and P/S ranges and their premiums/discounts relative to a competitor average, adjusted by weights. If the market price exceeds this fair value range, URBN is overvalued; if below, it's undervalued.

Historical Valuation

Urban Outfitters Inc (URBN) is now in the Fair zone, suggesting that its current forward PE ratio of 11.83 is considered Fairly compared with the five-year average of 11.67. The fair price of Urban Outfitters Inc (URBN) is between 58.85 to 77.31 according to relative valuation methord.

Relative Value

Fair Zone

58.85-77.31

Current Price：63.20

Fair

11.88

Trailing

Forward

7.87

EV/EBITDA

Urban Outfitters Inc. (URBN) has a current EV/EBITDA of 7.87. The 5-year average EV/EBITDA is 7.74. The thresholds are as follows: Strongly Undervalued below 5.29, Undervalued between 5.29 and 6.52, Fairly Valued between 8.96 and 6.52, Overvalued between 8.96 and 10.18, and Strongly Overvalued above 10.18. The current Forward EV/EBITDA of 7.87 falls within the Historic Trend Line -Fairly Valued range.

9.64

EV/EBIT

Urban Outfitters Inc. (URBN) has a current EV/EBIT of 9.64. The 5-year average EV/EBIT is 10.45. The thresholds are as follows: Strongly Undervalued below 6.46, Undervalued between 6.46 and 8.46, Fairly Valued between 12.45 and 8.46, Overvalued between 12.45 and 14.45, and Strongly Overvalued above 14.45. The current Forward EV/EBIT of 9.64 falls within the Historic Trend Line -Fairly Valued range.

63.20

Urban Outfitters Inc. (URBN) has a current PS of 63.20. The 5-year average PS is 1.33. The thresholds are as follows: Strongly Undervalued below -11.58, Undervalued between -11.58 and -5.12, Fairly Valued between 7.79 and -5.12, Overvalued between 7.79 and 14.24, and Strongly Overvalued above 14.24. The current Forward PS of 63.20 falls within the Strongly Overvalued range.

9.23

P/OCF

Urban Outfitters Inc. (URBN) has a current P/OCF of 9.23. The 5-year average P/OCF is 8.06. The thresholds are as follows: Strongly Undervalued below 4.63, Undervalued between 4.63 and 6.35, Fairly Valued between 9.78 and 6.35, Overvalued between 9.78 and 11.49, and Strongly Overvalued above 11.49. The current Forward P/OCF of 9.23 falls within the Historic Trend Line -Fairly Valued range.

14.96

P/FCF

Urban Outfitters Inc. (URBN) has a current P/FCF of 14.96. The 5-year average P/FCF is 13.08. The thresholds are as follows: Strongly Undervalued below -287.68, Undervalued between -287.68 and -137.30, Fairly Valued between 163.46 and -137.30, Overvalued between 163.46 and 313.84, and Strongly Overvalued above 313.84. The current Forward P/FCF of 14.96 falls within the Historic Trend Line -Fairly Valued range.

Urban Outfitters Inc (URBN) has a current Price-to-Book (P/B) ratio of 2.19. Compared to its 3-year average P/B ratio of 1.82 , the current P/B ratio is approximately 20.21% higher. Relative to its 5-year average P/B ratio of 1.79, the current P/B ratio is about 21.89% higher. Urban Outfitters Inc (URBN) has a Forward Free Cash Flow (FCF) yield of approximately 7.06%. Compared to its 3-year average FCF yield of 4.79%, the current FCF yield is approximately 47.59% lower. Relative to its 5-year average FCF yield of 3.78% , the current FCF yield is about 87.00% lower.

2.20

P/B

Median3y

1.82

Median5y

1.79

0.07

FCF Yield

Median3y

4.79

Median5y

3.78

Competitors Valuation Multiple

The average P/S ratio for URBN's competitors is 70.57, providing a benchmark for relative valuation. Urban Outfitters Inc Corp (URBN) exhibits a P/S ratio of 63.20, which is -10.45% above the industry average. Given its robust revenue growth of 11.30%, this premium appears unsustainable.

P/S

P/E

EV/EBITDA

EV/EBIT

P/S

Revenue Growth

Market Cap

Boot Barn Holdings Inc

Abercrombie & Fitch Co

American Eagle Outfitters Inc

Victoria's Secret & Co

35.39

2.96%

2.80B

Performance Decomposition

Market capitalization of URBN increased by 29.69% over the past 1 year. The primary factor behind the change was an increase in Revenue Growth from 1.35B to 1.50B.

The secondary factor is the Margin Expansion, contributed 10.01%to the performance.

Overall, the performance of URBN in the past 1 year is driven by Revenue Growth. Which is more sustainable.

11.30%

1.35B → 1.50B

Revenue Growth

10.01%

8.69 → 9.56

Margin Expansion

8.38%

11.44 → 12.40

P/E Change

29.69%