Why Urban Outfitters, Inc. (URBN) Outperformed

Target Corporation (NYSE:TGT)’s millennial strategy is hot, young designer collaborations, available to Target Corporation (NYSE:TGT) customers at much lower-than-designers’ retail prices. One eagerly anticipated collaboration is 3.1 Phillip Lim for Target, already available to view in a lookbook and available in store Sept. 15.

Another millennial initiative is its CityTarget stores in major metropolitan areas, with the inventory appealing to apartment dwellers as it has more fashion-forward options. Free Wi-Fi and QR codes are available in these stores in keeping with the target demographic’s love of tech. Three debuted last summer, with three more by year end. The concept was lauded with a number 10 rank in Fast Company‘s list of Most Innovative Companies of 2013. As successful as CityTarget may be, its bigger-box concepts haven’t done as well as the recent earnings release showed, saying many of the same things as Macy’s, Inc. (NYSE:M)

Continued upside
Why Urban Outfitters (URBN) Outperformed, founded decades ago to fulfill a Wharton School of Business assignment (final grade A), manages to keep winning over young adults by staying fresh even as so many retailers are struggling. The company now ships to over 200 countries and looks to keep the momentum going worldwide. At a forward P/E of 18.8, a PEG of 1.3, and no debt, Urban Outfitters can keep giving you upside as it has won over the millennials and manages to stay cool.

The article Why Urban Outfitters Outperformed originally appeared on Fool.com.

AnnaLisa Kraft has no position in any stocks mentioned. The Motley Fool recommends Urban Outfitters. 

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