Urban Outfitters (NASDAQ:URBN) is in crisis and things could still get worse.
Yesterday saw the release of yet another disappointing retail result when Urban Outfitters announced its first quarter earnings. With earnings per share coming in at 10 cents, down from 25 cents per share in Q1 of FY 2017, its shares are now changing hands at just 12x trailing earnings. Whilst this might look like a dirt-cheap price to pay for this retailer's shares, we have concerns that it could prove to be a value trap.
