Rent the Runway Inc (RENT)vsUrban Outfitters Inc (URBN)
RENT
Rent the Runway Inc
$4.81
+2.34%
CONSUMER CYCLICAL · Cap: $161.02M
URBN
Urban Outfitters Inc
$61.47
-0.36%
CONSUMER CYCLICAL · Cap: $5.53B
Smart Verdict
WallStSmart Research — data-driven comparison
Urban Outfitters Inc generates 1860% more annual revenue ($6.17B vs $314.50M). URBN leads profitability with a 7.5% profit margin vs 3.4%. RENT trades at a lower P/E of 1.7x. URBN earns a higher WallStSmart Score of 62/100 (C+).
RENT
Avoid30
out of 100
Grade: F
URBN
Buy62
out of 100
Grade: C+
Intrinsic Value Comparison
Multi-model valuation · Graham Formula
Margin of Safety
+70.5%
Fair Value
$19.58
Current Price
$4.81
$14.77 discount
Margin of Safety
-104.9%
Fair Value
$34.41
Current Price
$61.47
$27.06 premium
Key Strengths & Concerns
Side-by-side fundamental analysis
Key Strengths
Attractively priced relative to earnings
Conservative balance sheet, low leverage
15.4% revenue growth
Safe zone — low bankruptcy risk
Attractively priced relative to earnings
Reasonable price relative to book value
Areas to Watch
0.0% earnings growth
Smaller company, higher risk/reward
3.4% margin — thin
ROE of -7.8% — below average capital efficiency
7.5% margin — thin
Earnings declined 17.4%
Comparative Analysis Report
WallStSmart ResearchBull Case : RENT
The strongest argument for RENT centers on P/E Ratio, Debt/Equity, Revenue Growth. Revenue growth of 15.4% demonstrates continued momentum.
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.
Bear Case : RENT
The primary concerns for RENT are EPS Growth, Market Cap, Profit Margin. Thin 3.4% margins leave little buffer for downturns.
Bear Case : URBN
The primary concerns for URBN are Profit Margin, EPS Growth.
Key Dynamics to Monitor
RENT profiles as a growth stock while URBN is a value play — different risk/reward profiles.
RENT carries more volatility with a beta of 1.29 — expect wider price swings.
RENT is growing revenue faster at 15.4% — sustainability is the question.
URBN generates stronger free cash flow (217M), providing more financial flexibility.
Bottom Line
URBN scores higher overall (62/100 vs 30/100) and 10.1% revenue growth. RENT offers better value entry with a 70.5% margin of safety. Both earn "Buy" and "Avoid" ratings respectively — the choice depends on your investment horizon and risk tolerance.
This analysis is generated from publicly available financial data. Not financial advice.
Rent the Runway Inc
CONSUMER CYCLICAL · APPAREL RETAIL · USA
Rent the Runway, Inc. rents women's designer dresses, clothing and accessories through its stores and online platform.
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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