Why Urban Outfitters Shares Are Diving Premarket Wednesday
Portfolio Pulse from Lekha Gupta
Urban Outfitters, Inc. (NASDAQ:URBN) shares fell in premarket trading after reporting Q4 FY23 results with revenue of $1.486 billion, missing the consensus by $9 million. The company saw a 7.3% Y/Y increase in revenue, with retail segment net sales up 6.2% and wholesale segment net sales up 3.3%. Adjusted EPS of $0.69 also missed the consensus of $0.74. Despite this, adjusted gross margin expanded by 293 basis points Y/Y. The company opened 26 new retail locations but did not repurchase any common shares. URBN shares are down 9.41% at $42.74 premarket.
February 28, 2024 | 1:30 pm
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Urban Outfitters reported Q4 FY23 earnings with a slight revenue miss and lower EPS than expected, leading to a 9.41% drop in premarket trading.
The premarket drop in URBN shares is directly attributed to the company's Q4 FY23 earnings report, which showed both a revenue miss and a lower-than-expected EPS. This negative financial performance, particularly in comparison to consensus estimates, likely led to decreased investor confidence, resulting in the stock's premarket decline.
CONFIDENCE 95
IMPORTANCE 90
RELEVANCE 100