Urban Outfitters Inc (URBN)vsYum! Brands Inc (YUM)
URBN
Urban Outfitters Inc
$71.50
+1.50%
CONSUMER CYCLICAL · Cap: $6.32B
YUM
Yum! Brands Inc
$151.95
-3.37%
CONSUMER CYCLICAL · Cap: $43.34B
Smart Verdict
WallStSmart Research — data-driven comparison
Yum! Brands Inc generates 38% more annual revenue ($8.49B vs $6.17B). YUM leads profitability with a 20.5% profit margin vs 7.5%. URBN appears more attractively valued with a PEG of 1.22. YUM earns a higher WallStSmart Score of 65/100 (C+).
URBN
Buy57
out of 100
Grade: C
YUM
Buy65
out of 100
Grade: C+
Intrinsic Value Comparison
Multi-model valuation · Graham Formula
Margin of Safety
+17.3%
Fair Value
$85.26
Current Price
$71.50
$13.76 discount
Margin of Safety
-76.3%
Fair Value
$90.20
Current Price
$151.95
$61.75 premium
Key Strengths & Concerns
Side-by-side fundamental analysis
Key Strengths
Safe zone — low bankruptcy risk
Attractively priced relative to earnings
Reasonable price relative to book value
Strong operational efficiency at 31.0%
Earnings expanding 72.2% YoY
Keeps 21 of every $100 in revenue as profit
15.2% revenue growth
Areas to Watch
7.5% margin — thin
Earnings declined 17.5%
Expensive relative to growth rate
Moderate valuation
ROE of 0.0% — below average capital efficiency
Weak financial health signals
Comparative Analysis Report
WallStSmart ResearchBull 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 1.22 suggests the stock is reasonably priced for its growth.
Bull Case : YUM
The strongest argument for YUM centers on Operating Margin, EPS Growth, Profit Margin. Profitability is solid with margins at 20.5% and operating margin at 31.0%. Revenue growth of 15.2% demonstrates continued momentum.
Bear Case : URBN
The primary concerns for URBN are Profit Margin, EPS Growth.
Bear Case : YUM
The primary concerns for YUM are PEG Ratio, P/E Ratio, Return on Equity.
Key Dynamics to Monitor
URBN profiles as a value stock while YUM is a growth play — different risk/reward profiles.
URBN carries more volatility with a beta of 1.23 — expect wider price swings.
YUM is growing revenue faster at 15.2% — sustainability is the question.
YUM generates stronger free cash flow (341M), providing more financial flexibility.
Bottom Line
YUM scores higher overall (65/100 vs 57/100), backed by strong 20.5% margins and 15.2% revenue growth. URBN offers better value entry with a 17.3% margin of safety. Both earn "Buy" and "Buy" 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.
Yum! Brands Inc
CONSUMER CYCLICAL · RESTAURANTS · USA
Yum! Brands, Inc. is an American fast food corporation listed on the Fortune 1000. Yum! operates the brands KFC, Pizza Hut, Taco Bell, The Habit Burger Grill, and WingStreet worldwide, except in China, where the brands are operated by a separate company, Yum China.
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