Urban Outfitters Declines After Warning of Sales Slideby
Urban Outfitters Inc. suffered its worst stock decline in almost seven months after warning of a sales decrease this quarter, renewing concerns about a slowdown at the retail chain.
Same-store sales are falling by a percentage in the mid-single digits in the second quarter, which runs through July, the Philadelphia-based company said in a filing on Thursday.
The company said in May that second-quarter sales were slowing compared with the previous period. But at the time, Chief Executive Officer Richard Hayne blamed an unseasonably cool spring for the slowdown. The latest update sparked fears that Urban Outfitters may be facing a deeper slump.
Urban Outfitters fell as much as 8.3 percent to $25.61, the biggest intraday decline since November. The stock had been up 23 percent this year before the rout.