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Is Urban Outfitters (URBN) Stock Undervalued Right Now?
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Here at Zacks, our focus is on the proven Zacks Rank system, which emphasizes earnings estimates and estimate revisions to find great stocks. Nevertheless, we are always paying attention to the latest value, growth, and momentum trends to underscore strong picks.
Of these, perhaps no stock market trend is more popular than value investing, which is a strategy that has proven to be successful in all sorts of market environments. Value investors use tried-and-true metrics and fundamental analysis to find companies that they believe are undervalued at their current share price levels.
Zacks has developed the innovative Style Scores system to highlight stocks with specific traits. For example, value investors will be interested in stocks with great grades in the "Value" category. When paired with a high Zacks Rank, "A" grades in the Value category are among the strongest value stocks on the market today.
One stock to keep an eye on is Urban Outfitters (URBN - Free Report) . URBN is currently holding a Zacks Rank of #1 (Strong Buy) and a Value grade of A. The stock has a Forward P/E ratio of 13.06. This compares to its industry's average Forward P/E of 14.84. Over the past 52 weeks, URBN's Forward P/E has been as high as 21.58 and as low as 13.06, with a median of 17.45.
Investors should also note that URBN holds a PEG ratio of 1.02. This metric is used similarly to the famous P/E ratio, but the PEG ratio also takes into account the stock's expected earnings growth rate. URBN's PEG compares to its industry's average PEG of 1.27. Over the past 52 weeks, URBN's PEG has been as high as 1.80 and as low as 1.02, with a median of 1.46.
Investors should also recognize that URBN has a P/B ratio of 2.78. The P/B ratio is used to compare a stock's market value with its book value, which is defined as total assets minus total liabilities. This company's current P/B looks solid when compared to its industry's average P/B of 3.83. Within the past 52 weeks, URBN's P/B has been as high as 3.86 and as low as 1.98, with a median of 3.08.
These figures are just a handful of the metrics value investors tend to look at, but they help show that Urban Outfitters is likely being undervalued right now. Considering this, as well as the strength of its earnings outlook, URBN feels like a great value stock at the moment.
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Is Urban Outfitters (URBN) Stock Undervalued Right Now?
Here at Zacks, our focus is on the proven Zacks Rank system, which emphasizes earnings estimates and estimate revisions to find great stocks. Nevertheless, we are always paying attention to the latest value, growth, and momentum trends to underscore strong picks.
Of these, perhaps no stock market trend is more popular than value investing, which is a strategy that has proven to be successful in all sorts of market environments. Value investors use tried-and-true metrics and fundamental analysis to find companies that they believe are undervalued at their current share price levels.
Zacks has developed the innovative Style Scores system to highlight stocks with specific traits. For example, value investors will be interested in stocks with great grades in the "Value" category. When paired with a high Zacks Rank, "A" grades in the Value category are among the strongest value stocks on the market today.
One stock to keep an eye on is Urban Outfitters (URBN - Free Report) . URBN is currently holding a Zacks Rank of #1 (Strong Buy) and a Value grade of A. The stock has a Forward P/E ratio of 13.06. This compares to its industry's average Forward P/E of 14.84. Over the past 52 weeks, URBN's Forward P/E has been as high as 21.58 and as low as 13.06, with a median of 17.45.
Investors should also note that URBN holds a PEG ratio of 1.02. This metric is used similarly to the famous P/E ratio, but the PEG ratio also takes into account the stock's expected earnings growth rate. URBN's PEG compares to its industry's average PEG of 1.27. Over the past 52 weeks, URBN's PEG has been as high as 1.80 and as low as 1.02, with a median of 1.46.
Investors should also recognize that URBN has a P/B ratio of 2.78. The P/B ratio is used to compare a stock's market value with its book value, which is defined as total assets minus total liabilities. This company's current P/B looks solid when compared to its industry's average P/B of 3.83. Within the past 52 weeks, URBN's P/B has been as high as 3.86 and as low as 1.98, with a median of 3.08.
These figures are just a handful of the metrics value investors tend to look at, but they help show that Urban Outfitters is likely being undervalued right now. Considering this, as well as the strength of its earnings outlook, URBN feels like a great value stock at the moment.