Urban Outfitters Third Quarter Earnings Sneak Peek

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S&P 500 (NYSE:SPY) component Urban Outfitters, Inc. (NASDAQ:URBN) will unveil its latest earnings on Monday, November 19, 2012. Urban Outfitters is engaged in the general consumer product retail and wholesale business, selling to customers through various channels including retail stores, catalogs and web sites.

Urban Outfitters, Inc. Earnings Preview Cheat Sheet

Wall St. Earnings Expectations: The average analyst estimate is for profit of 41 cents per share, a rise of 24.2% from the company’s actual earnings for the year-ago quarter. The average estimate is the same as three months ago. Between one and three months ago, the average estimate was unchanged. It also has not changed during the last month. For the year, analysts are projecting net income of $1.58 per share, a rise of 32.8% from last year.

Past Earnings Performance: The company has beaten estimates the last two quarters and is coming off a quarter where it topped the forecasts by 9 cents, reporting profit of 42 cents per share against a mean estimate of net income of 33 cents. In the first quarter, the company exceeded forecasts by 3 cents with profit of 23 cents versus a mean estimate of net income of 20 cents.

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Stock Price Performance: Between August 20, 2012 and November 13, 2012, the stock price rose $4.67 (14.9%), from $31.28 to $35.95. It saw one of its worst periods between September 17, 2012 and September 27, 2012 when shares fell for nine straight days, dropping 5.9% (-$2.37) over that span.

Wall St. Revenue Expectations: Analysts are projecting a rise of 13.5% in revenue from the year-earlier quarter to $692.4 million.

A Look Back: In the second quarter, profit rose 8.1% to $61.3 million (42 cents a share) from $56.7 million (35 cents a share) the year earlier, exceeding analyst expectations. Revenue rose 11% to $676.3 million from $609.2 million.

Balance Sheet Analysis: The company’s current ratio of assets to liabilities came in at 3.04 last quarter. Having a ratio above 2:1 is usually considered a good indicator of a company’s liquidity and ability to meet creditor demands.

Analyst Ratings: With 15 analysts rating the stock a buy, two rating it a sell and 10 rating the stock a hold, there are indications of a bullish stance by analysts.

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(Company fundamentals by Xignite Financials. Earnings estimates provided by Zacks)

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