WallStSmart

Rent the Runway Inc (RENT)vsUrban Outfitters Inc (URBN)

VS

Smart Verdict

WallStSmart Research — data-driven comparison

Urban Outfitters Inc generates 1749% more annual revenue ($6.47B vs $350.10M). URBN leads profitability with a 8.8% profit margin vs 8.5%. RENT trades at a lower P/E of 0.5x. URBN earns a higher WallStSmart Score of 71/100 (B).

RENT

Avoid

34

out of 100

Grade: F

Growth: 5.3Profit: 3.0Value: 6.7Quality: 5.0
Piotroski: 5/9Altman Z: -5.27

URBN

Strong Buy

71

out of 100

Grade: B

Growth: 7.3Profit: 7.0Value: 6.7Quality: 8.0
Piotroski: 6/9Altman Z: 3.32
IV

Intrinsic Value Comparison

Multi-model valuation · Graham Formula

Intrinsic value data unavailable for RENT.

URBNUndervalued (+4.0%)

Margin of Safety

+4.0%

Fair Value

$73.45

Current Price

$75.91

$2.46 discount

UndervaluedFair: $73.45Overvalued

Key Strengths & Concerns

Side-by-side fundamental analysis

Key Strengths

RENT3 strengths · Avg: 9.3/10
P/E RatioValuation
0.5x10/10

Attractively priced relative to earnings

Debt/EquityHealth
-3.7010/10

Conservative balance sheet, low leverage

Revenue GrowthGrowth
29.2%8/10

Revenue surging 29.2% year-over-year

URBN4 strengths · Avg: 9.0/10
EPS GrowthGrowth
75.9%10/10

Earnings expanding 75.9% YoY

Altman Z-ScoreHealth
3.3210/10

Safe zone — low bankruptcy risk

P/E RatioValuation
12.4x8/10

Attractively priced relative to earnings

Price/BookValuation
2.5x8/10

Reasonable price relative to book value

Areas to Watch

RENT4 concerns · Avg: 2.8/10
EPS GrowthGrowth
0.0%4/10

0.0% earnings growth

Market CapQuality
$127.80M3/10

Smaller company, higher risk/reward

Return on EquityProfitability
-775.0%2/10

ROE of -775.0% — below average capital efficiency

Free Cash FlowQuality
$-5.20M2/10

Negative free cash flow — burning cash

URBN0 concerns · Avg: 0/10

No major concerns identified

Comparative Analysis Report

WallStSmart Research

Bull Case : RENT

The strongest argument for RENT centers on P/E Ratio, Debt/Equity, Revenue Growth. Revenue growth of 29.2% demonstrates continued momentum.

Bull Case : URBN

The strongest argument for URBN centers on EPS Growth, Altman Z-Score, P/E Ratio. Revenue growth of 10.4% demonstrates continued momentum. PEG of 1.35 suggests the stock is reasonably priced for its growth.

Bear Case : RENT

The primary concerns for RENT are EPS Growth, Market Cap, Return on Equity.

Bear Case : URBN

No major red flags identified for URBN, but monitor valuation.

Key Dynamics to Monitor

RENT profiles as a growth stock while URBN is a value play — different risk/reward profiles.

URBN carries more volatility with a beta of 1.26 — expect wider price swings.

RENT is growing revenue faster at 29.2% — sustainability is the question.

URBN generates stronger free cash flow (301M), providing more financial flexibility.

Bottom Line

URBN scores higher overall (71/100 vs 34/100) and 10.4% revenue growth. Both earn "Strong 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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