Urban Outfitters (NASDAQ:URBN) Posts Earnings Results, Beats Estimates By $0.19 EPS

26 Feb 2026, 14:04 by Michael Walen · The Markets Daily

Urban Outfitters (NASDAQ:URBN – Get Free Report) released its earnings results on Wednesday. The apparel retailer reported $1.43 earnings per share (EPS) for the quarter, topping analysts’ consensus estimates of $1.24 by $0.19, Zacks reports. Urban Outfitters had a net margin of 8.15% and a return on equity of 18.33%. The company had revenue of $1.80 billion for the quarter, compared to analyst estimates of $1.79 billion. During the same period in the prior year, the business earned $1.04 EPS. The firm’s quarterly revenue was up 10.1% on a year-over-year basis.

Here are the key takeaways from Urban Outfitters’ conference call:

URBN reported a record Q3 — total revenue grew ~12% to $1.5B and net income rose ~13% to $116M, with every brand producing positive comparable sales.
Nuuly accelerated rapidly, delivering 49% revenue growth and nearly 400,000 average active subscribers, and URBN is expanding logistics (Kansas City) to support further scale.
Urban Outfitters materially turned around with a 13% global retail comp (10% North America, 17% Europe) and achieved a low-single-digit operating profit in Q3.
Tariffs are a meaningful headwind — management estimates ~60 bps gross margin pressure in Q3 and ~75 bps in Q4, with ongoing uncertainty that could affect future margins.
Gross profit dollars rose ~13% and margin improved ~31 bps due to lower markdowns and occupancy leverage, but SG&A increased ~14% (marketing and store labor), partially offsetting gains.

Urban Outfitters Trading Up 0.9%

Shares of NASDAQ:URBN opened at $65.46 on Thursday. The company has a fifty day simple moving average of $72.88 and a 200 day simple moving average of $71.59. The firm has a market cap of $5.87 billion, a PE ratio of 12.35, a price-to-earnings-growth ratio of 0.90 and a beta of 1.24. Urban Outfitters has a 12-month low of $41.89 and a 12-month high of $84.35.

Analysts Set New Price Targets

A number of research analysts recently commented on URBN shares. UBS Group reaffirmed a “neutral” rating on shares of Urban Outfitters in a research report on Tuesday, January 13th. Telsey Advisory Group reiterated an “outperform” rating and set a $98.00 price target on shares of Urban Outfitters in a research note on Thursday. Robert W. Baird set a $93.00 price objective on Urban Outfitters in a research report on Wednesday, December 17th. Deutsche Bank Aktiengesellschaft reiterated a “buy” rating on shares of Urban Outfitters in a research report on Wednesday, November 26th. Finally, Weiss Ratings reissued a “buy (b)” rating on shares of Urban Outfitters in a research note on Monday, December 29th. Eight analysts have rated the stock with a Buy rating, eight have assigned a Hold rating and one has given a Sell rating to the company’s stock. According to MarketBeat, the company has an average rating of “Hold” and a consensus price target of $86.67.

Check Out Our Latest Report on Urban Outfitters

Insider Buying and Selling

In other news, CEO Richard A. Hayne sold 10,667 shares of the company’s stock in a transaction dated Friday, February 20th. The shares were sold at an average price of $70.50, for a total transaction of $752,023.50. Following the completion of the transaction, the chief executive officer owned 17,449,385 shares in the company, valued at approximately $1,230,181,642.50. This represents a 0.06% decrease in their ownership of the stock. The transaction was disclosed in a legal filing with the Securities & Exchange Commission, which is accessible through the SEC website. Also, insider Margaret Hayne sold 9,333 shares of Urban Outfitters stock in a transaction that occurred on Friday, February 20th. The shares were sold at an average price of $70.50, for a total value of $657,976.50. Following the sale, the insider directly owned 1,933,859 shares in the company, valued at approximately $136,337,059.50. This trade represents a 0.48% decrease in their position. Additional details regarding this sale are available in the official SEC disclosure. Insiders sold a total of 602,850 shares of company stock valued at $45,557,264 over the last quarter. Company insiders own 31.60% of the company’s stock.

Institutional Investors Weigh In On Urban Outfitters

Several institutional investors have recently bought and sold shares of URBN. MIRAE ASSET GLOBAL ETFS HOLDINGS Ltd. boosted its stake in Urban Outfitters by 4.6% during the 1st quarter. MIRAE ASSET GLOBAL ETFS HOLDINGS Ltd. now owns 37,728 shares of the apparel retailer’s stock valued at $1,977,000 after purchasing an additional 1,653 shares in the last quarter. UBS AM A Distinct Business Unit of UBS Asset Management Americas LLC boosted its stake in Urban Outfitters by 10.5% in the 1st quarter. UBS AM A Distinct Business Unit of UBS Asset Management Americas LLC now owns 142,668 shares of the apparel retailer’s stock worth $7,476,000 after purchasing an additional 13,554 shares during the period. Northwestern Mutual Wealth Management Co. grew its holdings in shares of Urban Outfitters by 343.5% during the second quarter. Northwestern Mutual Wealth Management Co. now owns 2,435 shares of the apparel retailer’s stock valued at $177,000 after buying an additional 1,886 shares in the last quarter. EverSource Wealth Advisors LLC increased its holdings in shares of Urban Outfitters by 125.1% in the 2nd quarter. EverSource Wealth Advisors LLC now owns 493 shares of the apparel retailer’s stock valued at $36,000 after purchasing an additional 274 shares during the period. Finally, First Trust Advisors LP lifted its position in Urban Outfitters by 14.0% in the 2nd quarter. First Trust Advisors LP now owns 182,547 shares of the apparel retailer’s stock worth $13,242,000 after buying an additional 22,393 shares in the last quarter. Institutional investors and hedge funds own 77.61% of the company’s stock.

More Urban Outfitters News

Here are the key news stories impacting Urban Outfitters this week:

Positive Sentiment: Q4 beat on both revenue and EPS; company reported record fourth-quarter revenue and operating profits, which investors interpreted as confirmation the recovery is broadening. Urban Outfitters Reports Q4 2026 Earnings: What You Need to Know
Positive Sentiment: Turnaround at the Urban Outfitters namesake stores is now a growth driver after being a historical weakness — this store-level improvement is a clear fundamental positive for same-store sales and margins. Urban Outfitters’ once-struggling namesake stores are now driving its sales gains
Positive Sentiment: Nuuly (the company’s rental/subscription business) exceeded its sales target and added meaningful subscribers, offering a higher-growth, recurring-revenue element to the business mix. This reduces reliance on traditional apparel cycles. Urban Outfitters’ Rental Business Beats Its Sales Target
Neutral Sentiment: Management provided the press release and slide deck; investors should review the deck for margin, inventory and guidance details to assess sustainability of the beat. Listen to Conference Call / View Press Release
Neutral Sentiment: Analysts entered the quarter with mixed expectations and focused on divergence across brands; the beat should prompt revisions but watch upcoming analyst notes for updated targets. Investors brace for Urban Outfitters earnings as brands diverge
Negative Sentiment: Prior to the print, some analysts had trimmed forecasts and flagged the risk of a lower Q4; while the company beat, lingering analyst skepticism could cap upside until guidance or sustained trends are confirmed. Urban Outfitters Likely To Report Lower Q4 Earnings; These Most Accurate Analysts Revise Forecasts Ahead Of Earnings Call

About Urban Outfitters

(Get Free Report)

Urban Outfitters, Inc is a global lifestyle retailer headquartered in Philadelphia, Pennsylvania. Established in 1970 by Richard Hayne, Scott Belair and Judy Wicks, the company began as a single store catering to college students in the city’s historic Old City neighborhood. Over the decades, Urban Outfitters has expanded its reach and diversified its portfolio to include multiple retail concepts addressing distinct customer segments.

The company operates through several well-known brands, each offering a curated selection of apparel, footwear, accessories and home goods.