Burlington Stores Inc (BURL) is overvalued and Urban Outfitters Inc (URBN) is slightly undervalued.
Against our estimates of intrinsic value, URBN trades at the wider discount: a margin of safety of +14%, against -40% for BURL.
Values as of the 23 Sept 2026 close.
Discounting its cash flows at 9.9% (average of 3 methods) values the shares at $183.25; the price of $257.33 is 40% above that value, and 74% of that value comes from beyond year five.
Leak Score 14/100 on 3 of 12 signals
Discounting its cash flows at 9.9% (average of 3 methods) values the shares at $87.08; the price of $74.82 is 14% below that value, and 73% of that value comes from beyond year five.
Leak Score 67/100 on 9 of 12 signals
| Metric | BURL | URBN |
|---|---|---|
| Verdict | Overvalued | Slightly undervalued |
| Price | $257.33 | $74.82 |
| Intrinsic value | $183.25 | $87.08 |
| Margin of safety | -40% | +14% |
| Leak Score | 14/100 (3/12) | 67/100 (9/12) |
| Market cap | $16.2B | $6.4B |
| Revenue growth, 5 years | 14.9% | 12.3% |
| Operating margin | 8.2% | 11.3% |
| Net margin | 5.8% | 8.8% |
| Return on equity | 41.4% | 20.9% |
| Debt to equity | 2.95 | 0.43 |
| P/E | 23.1x | 11.7x |
| Forward P/E | 19.0x | 10.9x |
| P/B | 8.1x | 2.3x |