Urban Outfitters (NASDAQ:URBN) versus Cache (OTCMKTS:CACH) Head-To-Head Comparison

Urban Outfitters (NASDAQ:URBN) and Cache (OTCMKTS:CACH) are both retail/wholesale companies, but which is the better investment? We will contrast the two businesses based on the strength of their earnings, profitability, dividends, risk, valuation, analyst recommendations and institutional ownership.

Profitability

This table compares Urban Outfitters and Cache’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Urban Outfitters	7.48%	18.92%	10.45%
Cache	N/A	N/A	N/A

Valuation and Earnings

This table compares Urban Outfitters and Cache”s top-line revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Urban Outfitters	$6.17 billion	0.98	$464.92 million	$5.21	13.55
Cache	N/A	N/A	N/A	N/A	N/A

Urban Outfitters has higher revenue and earnings than Cache.

Analyst Ratings

This is a summary of recent ratings and price targets for Urban Outfitters and Cache, as provided by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Urban Outfitters	0	7	7	0	2.50
Cache	0	0	0	0	0.00

Urban Outfitters presently has a consensus target price of $87.18, suggesting a potential upside of 23.54%. Given Urban Outfitters’ stronger consensus rating and higher possible upside, equities analysts clearly believe Urban Outfitters is more favorable than Cache.

Insider and Institutional Ownership

77.6% of Urban Outfitters shares are held by institutional investors. 32.1% of Urban Outfitters shares are held by company insiders. Comparatively, 23.0% of Cache shares are held by company insiders. Strong institutional ownership is an indication that hedge funds, endowments and large money managers believe a stock will outperform the market over the long term.

Summary

Urban Outfitters beats Cache on 9 of the 9 factors compared between the two stocks.

About Urban Outfitters

Urban Outfitters, Inc. engages in the retail and wholesale of general consumer products. The company operates through three segments: Retail, Wholesale, and Nuuly. It operates Urban Outfitters stores, which offer women's and men's fashion apparel, activewear, intimates, footwear, accessories, home goods, electronics, and beauty products for young adults aged 18 to 28; and Anthropologie stores that provide women's apparel, accessories, intimates, shoes, and home furnishings, as well as gifts, decorative items, and beauty and wellness products for women aged 28 to 45. The company also operates Terrain stores that provide lifestyle home products, garden and outdoor living products, antiques, live plants, flowers, wellness products, and accessories. In addition, it operates Free People retail stores, which offer casual women's apparel, intimates, activewear, shoes, accessories, home products, gifts, and beauty and wellness products for young women aged 25 to 30; and restaurants, as well as women's apparel subscription rental service under the Nuuly brand. Further, the company is involved in the wholesale of young women's contemporary casual apparel, intimates, activewear, and shoes under the Free People brand; and apparel collections under the Urban Outfitters brand. The company serves its customers directly through retail stores, websites, mobile applications, catalogs and customer contact centers, franchisee-owned stores, and department and specialty stores, as well as social media and third-party digital platforms. Urban Outfitters, Inc. was founded in 1970 and is based in Philadelphia, Pennsylvania.

About Cache

Cache, Inc., together with its subsidiaries, operates as a mall-based and online woman’s specialty retailer of apparel and accessories in the United States. The company designs and markets sportswear, such as tops, sweaters, and jackets and bottoms for day or evening events; dresses ranges from shorter lengths to long for day, evening, and events; and accessories, including jewelry, belts, scarves, and handbags under the Cache brand name. The company was founded in 1975 and is headquartered in New York, New York.