WallStSmart

Urban Outfitters Inc (URBN)vsVictoria's Secret & Co (VSCO)

VS

Smart Verdict

WallStSmart Research — data-driven comparison

Victoria's Secret & Co generates 6% more annual revenue ($6.55B vs $6.17B). URBN leads profitability with a 7.5% profit margin vs 2.5%. URBN trades at a lower P/E of 12.2x. URBN earns a higher WallStSmart Score of 62/100 (C+).

URBN

Buy

62

out of 100

Grade: C+

Growth: 4.7Profit: 6.0Value: 7.3Quality: 6.8
Piotroski: 5/9Altman Z: 3.41

VSCO

Hold

49

out of 100

Grade: D+

Growth: 6.0Profit: 6.0Value: 5.7Quality: 4.3
Piotroski: 4/9
IV

Intrinsic Value Comparison

Multi-model valuation · Graham Formula

URBNSignificantly Overvalued (-104.9%)

Margin of Safety

-104.9%

Fair Value

$34.41

Current Price

$61.47

$27.06 premium

UndervaluedFair: $34.41Overvalued
VSCOSignificantly Overvalued (-329.5%)

Margin of Safety

-329.5%

Fair Value

$13.12

Current Price

$44.56

$31.44 premium

UndervaluedFair: $13.12Overvalued

Key Strengths & Concerns

Side-by-side fundamental analysis

Key Strengths

URBN3 strengths · Avg: 8.7/10
Altman Z-ScoreHealth
3.4110/10

Safe zone — low bankruptcy risk

P/E RatioValuation
12.2x8/10

Attractively priced relative to earnings

Price/BookValuation
2.0x8/10

Reasonable price relative to book value

VSCO1 strengths · Avg: 9.0/10
Return on EquityProfitability
24.0%9/10

Every $100 of equity generates 24 in profit

Areas to Watch

URBN2 concerns · Avg: 2.5/10
Profit MarginProfitability
7.5%3/10

7.5% margin — thin

EPS GrowthGrowth
-17.4%2/10

Earnings declined 17.4%

VSCO3 concerns · Avg: 2.0/10
Profit MarginProfitability
2.5%3/10

2.5% margin — thin

EPS GrowthGrowth
-5.7%2/10

Earnings declined 5.7%

Debt/EquityHealth
7.251/10

Elevated debt levels

Comparative Analysis Report

WallStSmart Research

Bull Case : URBN

The strongest argument for URBN centers on Altman Z-Score, P/E Ratio, Price/Book. Revenue growth of 10.1% demonstrates continued momentum. PEG of 1.01 suggests the stock is reasonably priced for its growth.

Bull Case : VSCO

The strongest argument for VSCO centers on Return on Equity.

Bear Case : URBN

The primary concerns for URBN are Profit Margin, EPS Growth.

Bear Case : VSCO

The primary concerns for VSCO are Profit Margin, EPS Growth, Debt/Equity. Debt-to-equity of 7.25 is elevated, increasing financial risk. Thin 2.5% margins leave little buffer for downturns.

Key Dynamics to Monitor

VSCO carries more volatility with a beta of 2.27 — expect wider price swings.

URBN is growing revenue faster at 10.1% — sustainability is the question.

VSCO generates stronger free cash flow (649M), providing more financial flexibility.

Monitor APPAREL RETAIL industry trends, competitive dynamics, and regulatory changes.

Bottom Line

URBN scores higher overall (62/100 vs 49/100) and 10.1% revenue growth. Both earn "Buy" and "Hold" ratings respectively — the choice depends on your investment horizon and risk tolerance.

This analysis is generated from publicly available financial data. Not financial advice.

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.

Victoria's Secret & Co

CONSUMER CYCLICAL · APPAREL RETAIL · USA

Victoria's Secret & Co (VSCO) is a leading specialty retailer recognized for its iconic women's lingerie, apparel, and personal care products, marketed predominantly under its renowned Victoria's Secret and PINK brands. The company employs a robust omnichannel strategy to optimize customer experiences and engagement, leveraging both physical and digital platforms. As VSCO undergoes a strategic brand repositioning to resonate with evolving consumer preferences, it remains committed to sustainability initiatives and capitalizing on growth opportunities within the competitive retail landscape. Its forward-thinking approach positions the company favorably for long-term value creation.

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