Urban Outfitters upgraded to Buy from Neutral at Citi

Citi upgraded Urban Outfitters (URBN) to Buy from Neutral with a price target of $59, up from $42. The company’s Q3 results showed strong execution across the portfolio, the analyst tells investors in a research note. The firm says that for the first time in years, the Urban Outfitters brand is showing signs of a recovery with management guiding to a Q4 sequential comp improvement and margin recovery expected to continue into fiscal 2025. Meanwhile, Anthropologie and Free People remain in solid positions, adds Citi. As such, it sees the stock’s risk/reward as “very favorable.”