Citigroup (NYSE: C) reiterated its “buy” rating for Urban Outfitters Inc (NASDAQ: URBN) and set a new price target of $42.00 for the company.
Citi analyst says, “We believe the comp acceleration management noted on its 4Q call has continued given consistent strong execution at Anthropologie and improving product at U.O. We see upside to our +8-10% 1Q comp estimate…We believe acquisitions may be more heavily considered now than in the past, with some changes to the criteria likely stemming from new hires CFO Eric Artz and President, Urban Outfitters Brand Steve Murray (both have acquisitions experience). Namely, mgt. seems open to (1) larger acquisitions that could more significantly move the needle and (2) international concepts (especially authentic ideas lacking back-end functionality).”
