American Eagle Outfitters Inc (AEO)vsUrban Outfitters Inc (URBN)
AEO
American Eagle Outfitters Inc
$17.54
-3.31%
CONSUMER CYCLICAL · Cap: $2.94B
URBN
Urban Outfitters Inc
$75.40
+0.27%
CONSUMER CYCLICAL · Cap: $6.41B
Smart Verdict
WallStSmart Research — data-driven comparison
Urban Outfitters Inc generates 12% more annual revenue ($6.32B vs $5.65B). URBN leads profitability with a 7.5% profit margin vs 5.0%. URBN appears more attractively valued with a PEG of 1.35. URBN earns a higher WallStSmart Score of 66/100 (B-).
AEO
Buy51
out of 100
Grade: C-
URBN
Strong Buy66
out of 100
Grade: B-
Intrinsic Value Comparison
Multi-model valuation · Graham Formula
Margin of Safety
+9.9%
Fair Value
$26.47
Current Price
$17.54
$8.93 discount
Margin of Safety
+1.8%
Fair Value
$71.78
Current Price
$75.40
$3.62 discount
Key Strengths & Concerns
Side-by-side fundamental analysis
Key Strengths
Attractively priced relative to earnings
Safe zone — low bankruptcy risk
Reasonable price relative to book value
Safe zone — low bankruptcy risk
Attractively priced relative to earnings
Reasonable price relative to book value
Areas to Watch
5.0% margin — thin
Operating margin of 2.4%
Elevated debt levels
Weak financial health signals
7.5% margin — thin
Negative free cash flow — burning cash
Comparative Analysis Report
WallStSmart ResearchBull Case : AEO
The strongest argument for AEO centers on P/E Ratio, Altman Z-Score, Price/Book.
Bull Case : URBN
The strongest argument for URBN centers on Altman Z-Score, P/E Ratio, Price/Book. Revenue growth of 11.4% demonstrates continued momentum. PEG of 1.35 suggests the stock is reasonably priced for its growth.
Bear Case : AEO
The primary concerns for AEO are Profit Margin, Operating Margin, Debt/Equity. Thin 5.0% margins leave little buffer for downturns.
Bear Case : URBN
The primary concerns for URBN are Profit Margin, Free Cash Flow.
Key Dynamics to Monitor
AEO carries more volatility with a beta of 1.29 — expect wider price swings.
URBN is growing revenue faster at 11.4% — sustainability is the question.
AEO generates stronger free cash flow (-127M), providing more financial flexibility.
Monitor APPAREL RETAIL industry trends, competitive dynamics, and regulatory changes.
Bottom Line
URBN scores higher overall (66/100 vs 51/100) and 11.4% revenue growth. Both earn "Strong Buy" and "Buy" ratings respectively — the choice depends on your investment horizon and risk tolerance.
This analysis is generated from publicly available financial data. Not financial advice.
American Eagle Outfitters Inc
CONSUMER CYCLICAL · APPAREL RETAIL · USA
American Eagle Outfitters, Inc. is a specialty retailer offering clothing, accessories, and personal care products under the American Eagle and Aerie brand names. The company is headquartered in Pittsburgh, Pennsylvania.
Urban Outfitters Inc
CONSUMER CYCLICAL · APPAREL RETAIL · USA
Urban Outfitters, Inc. is engaged in the retail and wholesale of general consumer products. The company is headquartered in Philadelphia, Pennsylvania.
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