What To Expect From Urban Outfitters’s (URBN) Q2 Earnings

Clothing and accessories retailer Urban Outfitters (NASDAQ:URBN) will be reporting results this Wednesday after the bell. Here’s what to look for.

Urban Outfitters beat analysts’ revenue expectations by 2.5% last quarter, reporting revenues of $1.33 billion, up 10.7% year on year. It was a stunning quarter for the company, with a beat of analysts’ EPS estimates and a solid beat of analysts’ EBITDA estimates.

Is Urban Outfitters a buy or sell going into earnings? Read our full analysis here, it’s free.

This quarter, analysts are expecting Urban Outfitters’s revenue to grow 9.2% year on year to $1.48 billion, improving from the 6.3% increase it recorded in the same quarter last year. Adjusted earnings are expected to come in at $1.48 per share.

The majority of analysts covering the company have reconfirmed their estimates over the last 30 days, suggesting they anticipate the business to stay the course heading into earnings. Urban Outfitters has missed Wall Street’s revenue estimates three times over the last two years.

Looking at Urban Outfitters’s peers in the apparel and footwear retail segment, only Boot Barn has reported results so far. It beat analysts’ revenue estimates by 1.5%, delivering year-on-year sales growth of 19.1%. The stock price was unchanged following the results.

There has been positive sentiment among investors in the apparel and footwear retail segment, with share prices up 2.5% on average over the last month. Urban Outfitters is down 1.5% during the same time and is heading into earnings with an average analyst price target of $78 (compared to the current share price of $76.55).

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