|Bid||17.61 x 4000|
|Ask||17.73 x 800|
|Day's Range||17.32 - 18.27|
|52 Week Range||11.41 - 23.28|
|Beta (3Y Monthly)||-0.46|
|PE Ratio (TTM)||N/A|
|Forward Dividend & Yield||N/A (N/A)|
|1y Target Est||N/A|
The company beat analysts’ top-line estimates by 6.1% in the first quarter of 2018 and 2.4% in the second quarter. In the third quarter, revenue beat projections by 1.8%.
The underwhelming North American market’s performance has always been a concern for investors. It expects the weakness to continue in the North American segment, which led to a 10.4% decline in the stock price on December 12. Under Armour’s North American operations have been troubled for some time now.
Editor’s note: This article is a part of InvestorPlace.com’s Best Stocks for 2019 contest. Louis Navellier’s pick for the contest is Lululemon Athletica (NASDAQ:LULU). With a new year comes a new Best Stocks contest pick, and for 2019, my money is on Lululemon Athletica (NASDAQ:LULU).
The following is the unofficial transcript of a FIRST ON CNBC interview with Under Armour CEO & Chairman Kevin Plank, Under Armour President Patrik Frisk, and CNBC's Sara Eisen on CNBC's "Squawk on the Street" (M-F 9AM – 11AM) today, Thursday, December 13th. PATRIK FRISK: Thank you, Sara. SARA EISEN: So Kevin, what were you thinking when you saw the reaction?
Under Armour Inc. shares have taken a beating this week, with the athletic company’s investor day leaving some analysts optimistic about the long-term, and others bearish about the company’s ability to make good on its guidance.
The Nasdaq composite outperformed other key indexes as more growth stocks showed bullish chart action. Watch for potential new breakouts to emerge.
Shares of (UAA) fell as the company updated investors on the status of its turnaround plan on Wednesday. It may be as simple as the fact that investors already bid the shares up quite a bit this year, leaving some thinking it would take more than a “conservative” outlook from the company to keep them rising. Comparing the forecasts gives investors a sense of where the company thinks it can go as it moves out of turnaround mode.
Under Armour Inc (NYSE: UAA) shares took a nosedive Wednesday after the highly anticipated five-year plan unveiled at its Investor Day meeting failed to impress investors. CEO Kevin Plank introduced the company’s 2023 strategic growth plan at the meeting and said it was designed around two strategic priorities: to protect and perform.
CFO David Bergman said at Under Armour's investor day that the company plans to take possession of its space on the first floor of the General Motors building in the first half of 2020.
Under Armour CEO Kevin Plank says he wants to build a "diverse" and "inclusive" company. Under Armour UAA CEO Kevin Plank says he wants to build a "diverse" and "inclusive" company, following a report earlier this year that exposed that the company had been letting its employees charge visits to strip clubs on their corporate cards. The practice of letting workers expense strip club visits to win over athletes was stopped in February, though it had been happening for years, The Wall Street Journal reported last month.
Under Armour laid out its five-year strategic growth plan through 2023 to little fanfare from the research firm community. In the past Under Armour was a growth stock, consistently doubling its revenue year over. "Focusing on sustainable, profitable growth while increasing returns on capital and generating substantial cash will empower our ability to deliver industry-leading innovation, compelling premium consumer experiences and drive toward our targets, while steadily increasing returns to our shareholders," Chief Financial Officer David Bergman said in the 8-K.
Nike (NKE) is one of the biggest names in the athletic apparel and footwear manufacturing and distribution space. Over the past few years, Nike has increased its focus on its DTC (direct-to-consumer) business. Nike has beaten revenue estimates in four out of the last five quarters while witnessing year-over-year revenue growth in each.
On December 11, Nike’s (NKE) 12-month forward PE ratio was 25.3x. Meanwhile, Under Armour (UAA), Skechers (SKX), and Columbia Sportswear (COLM) had PE ratios of 65.5x, 12.3x, and 21.8x, respectively. Forward PE multiples help investors make investment decisions for similar companies.
The company expects its revenues to return to a low double-digit growth rate. The five-year revenue CAGR (compounded annual growth rate) for the North America revenues is estimated to be 1%–3%. For international operations, the five-year revenue CAGR is expected to be 17%–19%.
Of the 37 analysts covering Nike (NKE) on December 11, 60.0% have “buy” ratings, and 35.0% have “hold” ratings on its stock. On December 3, Citigroup called Nike the “best idea for 2019.” Citigroup says that Nike’s growth story is intact on a worldwide basis, according to TheStreet. Citigroup added that NKE also warrants a premium multiple.
, including employees charging strip-club visits to their corporate credit cards, were largely ignored by investors. When the company said Wednesday that growth would be slower than expected, investors fled the scene, sending the company’s shares down 9%.
The meeting was prefaced by a number of analysts and investors who are concerned about whether or not Under Armour has the potential to continue its sales growth. Analyst Simeon Siegel from Nomura Instinet said that he believes the company could benefit from “cleaning up its product margins,” meaning it could sell more sneakers and clothing directly to consumers. Under Armour also said that from 2020 to 2022, it sees its revenue growth to be in the low single digits on a compounded annual basis in North America.
Sportswear maker Under Armour Inc on Wednesday forecast 2019 revenue growth and profit below Wall Street estimates on expectations of flat sales in North America, triggering a 11 percent drop in its shares. The company has been struggling to gain market share in the United States, its biggest revenue source, due to fierce competition from Nike Inc and Adidas AG. Under Armour's earnings forecast of 31 cents to 33 cents per share fell short of analysts' estimate, reflecting the company's struggle to turn around its North America business.
Nike (NKE) is scheduled to announce its fiscal 2019 second-quarter earnings results on December 20. In the first quarter of fiscal 2019, Nike’s adjusted EPS were $0.67, 6.3% better than analysts’ estimate and up 17.5% YoY (year-over-year). Nike’s management expects its SG&A (selling, general, and administrative) expenses to rise in the low teens owing to investments in digital capabilities and marketing investments.
Dec.13 -- Under Armour Inc. Chief Executive Officer Kevin Plank and Chief Operating Officer Patrik Frisk discuss the athletic wear company's growth strategy with Bloomberg's Scarlet Fu on "Bloomberg Markets: European Close."
CNBC's Sara Eisen sits down with Under Armour's Founder and CEO Kevin Plank and President Patrik Frisk to talk about the company's turnaround plan.