Monday, August 19, 2013
Store Intel: URBN Update
Urban Outfitters (URBN): With earnings due out this afternoon we wanted to reiterate our position from our last commentary on August 14th. We don't see any noticeable improvement in the pace of business last weekend. The only call out is that we feel the women's business at both Urban Outfitters and Anthropology are a bit challenging. Although we did not notice any additional markdown this weekend, the promotion on all denim at $39 has been less than expected. Possible scenario's as a result of the current business conditions might be unplanned promotions. On a long term basis we like this name a lot but unfortunately, they are not immune from the softer than expected business we are hearing from those retailers' which have reported Q2 results.