Under Armour (NYSE:UA) Shares Gap Down on Disappointing Earnings

Under Armour, Inc. (NYSE:UA)’s share price gapped down prior to trading on Tuesday after the company announced weaker than expected quarterly earnings. The stock had previously closed at $5.88, but opened at $5.11. Under Armour shares last traded at $4.8140, with a volume of 2,193,977 shares trading hands.

The company reported ($0.03) EPS for the quarter, missing analysts’ consensus estimates of ($0.02) by ($0.01). Under Armour had a negative net margin of 10.44% and a positive return on equity of 1.48%. Under Armour has set its FY 2027 guidance at 0.080-0.120 EPS.

Analyst Ratings Changes

UA has been the topic of a number of recent research reports. Zacks Research raised Under Armour to a “hold” rating in a research note on Wednesday, March 11th. Weiss Ratings reaffirmed a “sell (d-)” rating on shares of Under Armour in a research note on Friday. Finally, Citigroup downgraded shares of Under Armour from a “hold” rating to a “strong sell” rating in a research report on Tuesday, February 10th. One equities research analyst has rated the stock with a Hold rating and two have given a Sell rating to the company’s stock. According to MarketBeat.com, the stock presently has an average rating of “Sell”.

Institutional Investors Weigh In On Under Armour

A number of institutional investors have recently modified their holdings of the company. AQR Capital Management LLC boosted its position in Under Armour by 247.3% during the first quarter. AQR Capital Management LLC now owns 98,632 shares of the company’s stock valued at $587,000 after acquiring an additional 70,231 shares during the last quarter. Goldman Sachs Group Inc. boosted its position in shares of Under Armour by 34.4% during the 1st quarter. Goldman Sachs Group Inc. now owns 388,256 shares of the company’s stock valued at $2,310,000 after purchasing an additional 99,402 shares in the last quarter. Prudential Financial Inc. boosted its position in shares of Under Armour by 26.4% during the 2nd quarter. Prudential Financial Inc. now owns 19,560 shares of the company’s stock valued at $127,000 after purchasing an additional 4,083 shares in the last quarter. Cerity Partners LLC acquired a new stake in shares of Under Armour during the 2nd quarter worth approximately $65,000. Finally, Quantinno Capital Management LP grew its holdings in Under Armour by 16.5% in the second quarter. Quantinno Capital Management LP now owns 184,882 shares of the company’s stock worth $1,200,000 after purchasing an additional 26,217 shares during the period. 36.35% of the stock is owned by institutional investors.

Under Armour Price Performance

The firm has a market capitalization of $2.05 billion, a P/E ratio of -3.95 and a beta of 1.65. The business has a 50-day moving average of $6.12 and a 200 day moving average of $5.55. The company has a current ratio of 1.43, a quick ratio of 0.92 and a debt-to-equity ratio of 0.27.

Under Armour Company Profile

Under Armour, Inc is a global designer, marketer and distributor of branded performance apparel, footwear and accessories. The company’s product portfolio spans a wide range of athletic categories, including running, training, basketball, outdoor and golf, with specialized lines for men, women and youth. Under Armour emphasizes innovative fabrics and technologies designed to enhance athletic performance, such as moisture-wicking HeatGear®, cold-weather ColdGear® and UV-protective UA Tech™ materials.

The company was founded in 1996 by former University of Maryland football captain Kevin Plank, who sought to create a superior moisture-wicking T-shirt to keep athletes cool and dry.