(Updates shares in second paragraph.)
Feb. 3 (Bloomberg) -- Urban Outfitters Inc. advanced after naming alumnus Ted Marlow chief executive officer of its namesake brand.
Urban rose 4.7 percent to $27.69 at the close in New York. Urban fell 23 percent last year.
Marlow was brand president of the Urban Outfitters division for nine years before leaving the company in 2010. Marlow starts Feb. 6, Philadelphia-based Urban said yesterday in a statement after markets closed.
“This is a blast from the past that is giving investors hope that prior management that was successful will bring success back,” Randal Konik, an analyst at Jefferies & Co. in New York, said in a telephone interview. “In our view there are still challenges from slowing growth and rising competition,” said Konik, who rates the shares “underperform.”
Most recently Marlow was president at Indigo Books & Music Inc., the Canadian bookstore chain.
Glen Senk, former chief executive officer of the parent company, resigned Jan. 9 to become CEO of David Yurman Inc., the New York-based jeweler and watchmaker. He was replaced by Urban co-founder Richard Hayne.
In addition to its namesake brand, Urban Outfitters operates the women’s stores Free People and Anthropologie.
--Editors: Robin Ajello, James Callan
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