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Under Armour Rockets Higher Midday; Nike Also Rises

Under Armour shares soared in midday trading.

Investing.com - Under Armour soared higher in midday trading thanks to impressive quarterly results, but other consumer discretionary stocks found it tougher going.

Under Armour (NYSE:UAA) stock climbed about 24% at 11:10 AM ET (15:10 GMT).

The company reported a profit of 25 cents per share, excluding items, well ahead of the 12 cents per share analysts predicted. Sales of $1.44 billion were above forecasts of $1.42 billion.

The company predicted a full-year profit above the current consensus estimate and said gross margin for the period rose by 20 basis points.

The rally took shares to levels last seen in June.

Under Armour’s bullish numbers and outlook led to a knock-on effect for rival Nike (NYSE:NKE), which climbed about 2.5%.

But other members of the consumer discretionary sector struggled as money moved into consumer staples following strong earnings from Mondelez (NASDAQ:MDLZ).

Amazon (NASDAQ:AMZN) fell about 1.4%, while Ulta Beauty (NASDAQ:ULTA) dropped about 4% and CarMax (NYSE:KMX) lost about 2.7%.

The S&P 500 Consumer Discretionary index was little changed midday, while the S&P 500 Consumer Staples index gained about 1%.

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