Under Armour, Inc., together with its subsidiaries, develops, markets, and distributes performance apparel, footwear, and accessories for men, women, and youth. The company provides its apparel in compression, fitted, and loose fit types. It also offers footwear products for running, training, basketball, cleated sports, recovery, and outdoor applications. In addition, the company provides accessories, which include gloves, bags, headwear, and sports masks; and digital subscription, advertising, and other digital business services. It primarily offers its products under the UNDER ARMOUR, HEATGEAR, COLDGEAR, HOVR, UA, PROTECT THIS HOUSE, I WILL, UA Logo, ARMOUR FLEECE, and ARMOUR BRA brands. The company sells its products through wholesale channels, including national and regional sporting goods chains, independent and specialty retailers, department store chains, mono-branded Under Armour retail stores, institutional athletic departments, and leagues and teams, as well as independent distributors; and directly to consumers through a network of 439 Brand and Factory House stores, as well as through e-commerce websites. It operates in the United States, Canada, Europe, the Middle East, Africa, the Asia-Pacific, and Latin America. Under Armour, Inc. was incorporated in 1996 and is headquartered in Baltimore, Maryland.

Under Armour appears to be a company with acceptable liquidity, but weak current profitability and noticeably deteriorated operating performance. On valuation multiples, the picture is mixed: P/S of 0.55 and P/B of 1.34 are below the industry median, which supports the undervaluation thesis; however, P/E and P/FCF are effectively not informative due to almost zero profit and cash flow. The debt burden is moderate: debt/equity of 0.41 is below the industry median, while a current ratio of 1.81 and a quick ratio of 0.96 indicate normal short-term resilience. At the same time, cash on hand has fallen to $396 million from levels above $900 million a year earlier, which weakens the cushion. Gross profit margin of 46.8% looks strong and above the industry, but operating margin and net margin in TTM are both zero, meaning gross efficiency is not translating into bottom-line profit. ROE, ROA, ROI, and return on tangible equity are also zero, indicating weak capital efficiency in the current period. Revenue remains significant in absolute terms, but the year-to-year trend is uneven, and EBITDA and operating income remain very weak relative to the scale of the business. TTM net income is only $1 million, which is sharply worse than a normal level for a public consumer company and does not support a high valuation. Equity and assets have declined compared with earlier periods, while liabilities remain substantial, though not critical. The absence of dividends removes one possible support factor for the stock for an income-oriented investor. Overall, the fundamentals point to a cautious approach: the balance sheet does not look problematic, but earnings quality and the resilience of the operating model are still insufficient for a meaningful upward revision of the target valuation. Therefore, the adjustment should be moderately negative, reflecting weak profitability and a deteriorating cash position while relatively low multiples are preserved.

Under Armour, Inc.

Сильный индекс, значительно упал. Быки в растерянности.

Strong index, significantly down. The bulls are confused.

Слабый индекс, значительно вырос. Рынок не поддерживает быков.

Weak index, significantly up. The market does not support the bulls.

Средний индекс, незначительно вырос. Отток средств из лонгов снизился, но остается значительным.

Medium index, slightly up. The outflow of funds from longs has decreased, but remains significant.

Low multiples and normal liquidity support the undervaluation thesis, but near-zero profitability, weak cash flow, and a decline in cash on hand limit the upside.

DICK'S Sporting Goods, Inc. DKS lowered its fiscal 2026 profit outlook after a softer-than-expected second quarter. Adjusted earnings of $3.53 per share missed the Zacks Consensus Estimate of $3.78, while revenues of $5.59 billion trailed the consensus mark of $5.63 billion.
The DICK'S Business still delivered 4.9% comparable sales growth, but pro forma comparable sales for the Foot Locker Business fell 3.6%. Rising promotions in athletic footwear and apparel, weaker Foot Locker product trends and higher costs drove a more cautious full-year view.
For fiscal 2026, DKS now expects adjusted earnings of $11.00-$12.00 per share, down from the prior $13.50-$14.50 range. Consolidated net sales are projected at $21.9-$22.2 billion compared with the earlier $22.1-$22.4 billion outlook.
Foot Locker remains the largest pressure point. The business generated $1.74 billion in second-quarter revenues, but demand was hurt by weaker legacy footwear silhouettes, fewer product launches and softer consumer response to launches. DKS now expects Foot Locker to post an operating loss of $40-$80 million for fiscal 2026, reversing its prior expectation for $110-$150 million in operating profit. Its comparable sales outlook was reduced to a decline of 2% to flat.
Margin pressure is broadening beyond the acquired business. Consolidated adjusted gross profit was $1.9 billion, or 34.1% of sales, down 300 basis points year over year. Promotional activity, higher fuel and supply-chain costs and the Foot Locker mix weighed on profitability. Adjusted selling, general and administrative expenses rose 65% to $1.4 billion, including $477 million tied to Foot Locker, while DICK'S also invested in World Cup marketing, digital initiatives and in-store experiences.
The category backdrop remains uneven across major athletic brands. NIKE, Inc. NKE reported fiscal fourth-quarter 2026 wholesale revenues up 4% year over year, while NIKE Direct revenues fell 7%. Under Armour, Inc. UAA recently updated its fiscal 2027 revenue expectations amid what management described as a challenging consumer demand environment, while maintaining its full-year profitability outlook. Those mixed signals reinforce the importance of product freshness, channel discipline and full-price demand across the athletic marketplace.
DICK'S Sporting Goods, Inc. Price and Consensus
The core DICK'S Business provides an offset. Its second-quarter comparable sales growth reflected higher average ticket, more transactions and broad-based gains across footwear, apparel and hardlines. Management also cited strong FIFA World Cup results and market-share gains. DKS continues to expand House of Sport and Field House locations and is investing in GameChanger and its loyalty ecosystem, even as those initiatives add near-term expense.
The bottom line is a split operating picture. The DICK'S Business is still producing positive comparable sales, but Foot Locker weakness and a more promotional market are taking a larger toll on earnings than management previously expected. DKS shares have lost 33.2% in the past six months compared with a 20.5% decline for its industry.
The stock currently carries a Zacks Rank #5 (Strong Sell).
You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.
DKS has a VGM Score of B and a Value Score of B, alongside a Growth Score of C and a Momentum Score of D. The stronger value-oriented readings do not override the Zacks Rank because the Style Scores are designed to complement the Rank. The current combination points to a weaker near-term setup despite some favorable valuation characteristics, keeping estimate trends and Foot Locker execution central to the stock's outlook.
Research Chief Names "Single Best Pick to Double"
From thousands of stocks, 5 Zacks experts each have chosen their favorite to skyrocket +100% or more in months to come. From those 5, Director of Research Sheraz Mian hand-picks one to have the most explosive upside of all.
This company targets millennial and Gen Z audiences, generating nearly $1 billion in revenue last quarter alone. A recent pullback makes now an ideal time to jump aboard. Of course, all our elite picks aren’t winners but this one could far surpass earlier Zacks’ Stocks Set to Double like Nano-X Imaging which shot up +129.6% in little more than 9 months.
Free: See Our Top Stock And 4 Runners Up
Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report
NIKE, Inc. (NKE) : Free Stock Analysis Report

DKS Cuts 2026 Profit Outlook as Foot Locker and Promotions Pressure

Under Armour, Inc. UAA is seeing resilient performance across its international business, providing a counterbalance to weakness in North America. In the first quarter of fiscal 2027, international revenues increased 5% year over year to $490 million, or 2% on a constant-currency basis. This compared with a 9% decline in North America, highlighting the relative resilience of overseas markets.
Europe, the Middle East and Africa (EMEA) was the standout market, with revenues rising 12% year over year and 10% on a constant-currency basis. Growth was driven by strength in the distributor business, which more than offset slight declines in direct-to-consumer and full-price wholesale operations. Management noted that the region continues to demonstrate resilience despite a highly competitive and promotional environment.
Latin America delivered growth, with revenues increasing 8% year over year, although constant-currency growth was a more modest 1%. Management characterized the region as more resilient than North America and parts of Asia-Pacific. Licensing revenue also increased 2%, supported by growth in international markets.
Asia-Pacific remained a weak spot, with revenues declining 7%, or 10% on a constant-currency basis, amid softer demand in China and Southeast Asia. China was additionally affected by stockouts in key styles and sizes and aggressive discounting by certain licensees. Under Armour plans to improve eCommerce execution, product availability and coordination with licensing partners.
The company expects fiscal 2027 revenues to decline at a low-single-digit rate in both EMEA and Asia-Pacific. Still, management is focused on protecting brand positioning and improving marketplace execution. Strength in EMEA and Latin America suggests overseas markets remain a meaningful source of resilience as Under Armour works to sharpen its global business.
UAA’s International Performance Compared With TPR & WWW
Tapestry, Inc. TPR and Wolverine World Wide, Inc. WWW are the key footwear companies competing with Under Armour in the global arena.
Tapestry posted strong international growth in the fourth quarter of fiscal 2026, with Europe revenues rising 19% year over year and Greater China sales increasing 28% on a constant-currency basis. Growth was supported by robust direct business, broad-based channel momentum, new customer acquisition and market share gains, while Other Asia revenues increased 22%, led by South Korea and Australia. Japan sales declined 4% as the company intentionally pulled back on promotions. Tapestry expects international markets to contribute an increasing share of growth, with fiscal 2027 guidance calling for mid-teens growth in Europe and Greater China, high single-digit growth in Other Asia and a return to growth in Japan.
Wolverine posted strong international growth in the second quarter of fiscal 2026, with international revenues rising 10.9% year over year to $277.2 million, or 9.6% on a constant-currency basis. Merrell and Saucony led the momentum, with international markets driving strong wholesale performance, while Merrell benefited from its key city strategy and Saucony continued to see particularly strong demand in Europe. Wolverine's global distribution network, which spans approximately 170 countries and territories, along with expanding partnerships and targeted activations across key international markets, continues to support brand momentum and global growth.
UAA’s Price Performance, Valuation & Estimates
Shares of the company have gained 6.6% in the year-to-date period against the industry’s 2.8% decline.
From a valuation standpoint, Under Armour is trading at a forward 12-month price-to-sales ratio of 0.47X, down from the industry average of 2.38X.
The Zacks Consensus Estimate for Under Armour’s fiscal 2027 earnings implies a year-over-year decline of 8.3%, whereas the same for fiscal 2028 indicates an uptick of 64.6%. Estimates for fiscal 2027 and 2028 have been unchanged and revised downward by 4 cents, respectively, over the past 30 days.
Under Armour currently carries a Zacks Rank #3 (Hold). You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.
Beyond Nvidia: AI's Second Wave Is Here
The AI revolution has already minted millionaires. But the stocks everyone knows about aren't likely to keep delivering the biggest profits. AI’s second wave is moving from infrastructure to implementation and these companies are at the forefront of this transition, positioned to become what Amazon and Google were to the internet era.
See Stocks Now >>
Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report

Under Armour's EMEA & Latin America Markets Support Global Growth

VF Corporation VFC raised its fiscal 2027 constant-currency revenue outlook to growth of 2% or better, up from its previous 1-2% range, after first-quarter performance exceeded management’s revenue and operating-income expectations. The upgrade signals improving visibility across much of the portfolio, but investors still need to assess whether strength in Outdoor and smaller brands can compensate for a Vans recovery that remains incomplete.
Crocs, Inc. CROX offers a useful casual-footwear comparison. Its second-quarter 2026 revenues reached a record $1.18 billion, while the Crocs Brand topped $1 billion in quarterly revenues even as HEYDUDE revenues declined 5.7%.
Under Armour, Inc. UAA is another consumer-brand turnaround facing uneven demand. Its first-quarter fiscal 2027 revenues declined 3%, footwear revenues fell 8% and the company lowered its full-year revenue outlook to a mid-single-digit decline while maintaining its profitability outlook.
VFC's Q1 Beat Supports the Higher Outlook
First-quarter revenues, excluding Dickies, were flat in constant currency, better than management’s expectation for a low-single-digit decline. Adjusted operating loss excluding Dickies came to $95 million compared withs guidance for roughly $100 million, providing another reason for management to become more constructive on full-year revenue.
VFC Outdoor Growth Anchors the Revenue Raise
Outdoor segment revenues increased 5% year over year, with The North Face up 4% in constant currency and Timberland up 3%. Outdoor also showed channel breadth, as reported DTC revenue increased 9% and wholesale rose 3%, reinforcing the segment’s role as VFC’s principal growth engine while Vans remains under pressure.
VFC Still Needs Vans to Improve in the Second Half
Vans revenue fell 9% in constant currency in the first quarter, and management expects a roughly similar decline in the second quarter. The full-year outlook assumes a meaningful improvement thereafter, with Vans expected to decline by a mid-single-digit rate for fiscal 2027 and combined third and fourth-quarter revenues expected to fall 2% or better as wholesale assortments refresh.
VFC's Broader Portfolio Adds Support
The guidance increase is not resting solely on The North Face and Timberland. Altra grew at a double-digit rate, Smartwool also posted double-digit growth, and JanSport and Kipling contributed to improved packs performance, while DTC revenues excluding Dickies increased 5% in constant currency. That broader participation reduces VFC’s dependence on a rapid Vans rebound to generate companywide growth.
VFC Keeps Margin and Leverage Goals Intact
VFC maintained its fiscal 2027 adjusted operating-margin target of about 8% despite continued investment in marketing and DTC initiatives. Management also continues to expect free cash flow to be flat to higher than fiscal 2026’s $405 million and year-end leverage of 2.6-2.9 times, making profitability and balance-sheet execution important confirmations of the stronger revenue outlook.
V.F. Corporation Price, Consensus and EPS Surprise
VFC's Scores Temper the Guidance Upside
VFC carries a Zacks Rank #3 (Hold), suggesting the improved outlook has not yet translated into a clearly favorable near-term earnings signal. Its Value Score of A and VGM Score of B offer support, but the Growth Score of C and Momentum Score of F underscore why investors may still want evidence that Vans’ second-half improvement and VFC’s margin targets are materializing.
You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.
Research Chief Names "Single Best Pick to Double"
From thousands of stocks, 5 Zacks experts each have chosen their favorite to skyrocket +100% or more in months to come. From those 5, Director of Research Sheraz Mian hand-picks one to have the most explosive upside of all.
This company targets millennial and Gen Z audiences, generating nearly $1 billion in revenue last quarter alone. A recent pullback makes now an ideal time to jump aboard. Of course, all our elite picks aren’t winners but this one could far surpass earlier Zacks’ Stocks Set to Double like Nano-X Imaging which shot up +129.6% in little more than 9 months.
Free: See Our Top Stock And 4 Runners Up
Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report

VF Corp. Raises Fiscal 2027 Sales Outlook as Outdoor Growth Offsets Vans

VF Corporation VFC presents a classic turnaround trade-off: its valuation sits below both industry benchmarks and its own historical norm, while operating progress at The North Face, Timberland and the balance sheet is becoming more visible. Yet Vans remains a major source of uncertainty, making the investment case depend on whether improving portfolio fundamentals can outweigh continued brand-level execution risk.
Crocs, Inc. CROX offers a useful casual-footwear comparison. Its second-quarter 2026 revenues reached a record $1.18 billion, while the Crocs Brand topped $1 billion in quarterly revenues even as HEYDUDE revenues declined 5.7%.
Under Armour, Inc. UAA is another consumer-brand turnaround facing uneven demand. Its first-quarter fiscal 2027 revenues declined 3%, footwear revenues fell 8% and the company lowered its full-year revenue outlook to a mid-single-digit decline while maintaining its profitability outlook.
VFC's Valuation Offers a Clear Discount
VFC trades at 12.23 times forward 12-month earnings, below the textile-apparel sub-industry's 14.69 times and the stock's five-year median of 14.25 times. Its forward price-to-sales multiple of 0.59 also stands below its five-year median of 0.71, supporting the argument that investors are paying a discounted multiple for the turnaround.
VFC's Outdoor Brands Strengthen the Bull Case
The Outdoor segment remains the company's strongest growth engine, with first-quarter fiscal 2027 revenues rising 5% year over year. The North Face increased 4% in constant currency and Timberland rose 3%, while management expects both brands to sustain growth broadly around their fiscal 2026 rates.
VFC Still Needs Vans to Prove Its Recovery
Vans revenues declined 9% in constant currency during the first quarter, including drops of 17% in EMEA and 15% in APAC. Management expects another roughly 9% decline in the second quarter before a sizable second-half improvement, leaving the investment thesis dependent on newer products gaining traction across wholesale and international markets.
VFC's Margin Target Requires Better Second-Half Execution
Adjusted operating margin excluding Dickies fell to negative 5.7% in the first quarter, even as adjusted gross margin improved slightly to 54.9%. VFC still expects an adjusted operating margin of about 8% for fiscal 2027, so stronger second-half revenues, gross-margin expansion and SG&A discipline will be important tests of whether the turnaround is translating into earnings leverage.
V.F. Corporation Price, Consensus and EPS Surprise
VFC's Balance Sheet Reduces Turnaround Pressure
Net debt declined $1.1 billion, or 20%, year over year, while average total debt fell to $3.6 billion from $4.5 billion. VFC also continues to target a year-end fiscal 2027 leverage ratio of 2.6 to 2.9 times and 2.5 times or better by fiscal 2028, giving investors a measurable way to track financial-health progress alongside the brand recovery.
VFC's Scores Support Value but Counsel Patience
VFC carries a Zacks Rank #3 (Hold), which fits a setup where valuation appeal is offset by unresolved execution risks. Its Value Score of A and VGM Score of B strengthen the discounted-valuation argument, while a Growth Score of C, Momentum Score of F and recent downward EPS estimate revisions suggest investors may want firmer evidence of Vans and earnings improvement before becoming more aggressive.
You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.
Research Chief Names "Single Best Pick to Double"
From thousands of stocks, 5 Zacks experts each have chosen their favorite to skyrocket +100% or more in months to come. From those 5, Director of Research Sheraz Mian hand-picks one to have the most explosive upside of all.
This company targets millennial and Gen Z audiences, generating nearly $1 billion in revenue last quarter alone. A recent pullback makes now an ideal time to jump aboard. Of course, all our elite picks aren’t winners but this one could far surpass earlier Zacks’ Stocks Set to Double like Nano-X Imaging which shot up +129.6% in little more than 9 months.
Free: See Our Top Stock And 4 Runners Up
Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report
Crocs, Inc. (CROX) : Free Stock Analysis Report

Is VFC Worth Buying as Cheap Valuation Meets Vans Execution Risk?

VF Corporation VFC shares have dropped 14.2% in the past month, keeping pressure on a turnaround that still depends heavily on stabilizing Vans. The brand's revenues fell 9% in constant currency in first-quarter fiscal 2027, as global wholesale declines outweighed continued growth in Vans Americas direct-to-consumer sales.
The setback matters because VFC's broader recovery is gaining traction elsewhere. The North Face, Timberland and Altra grew in the quarter, and management raised fiscal 2027 revenue guidance to 2% or better in constant currency. The key question is whether Vans can stop offsetting those gains.
Vans remains the clearest execution risk. Constant-currency revenues fell 4% in the Americas, 17% in Europe, the Middle East and Africa, and 15% in Asia-Pacific in the first quarter. Management expects another roughly 9% decline in the second quarter, leaving the first half near a 9% drop. It still expects full-year Vans revenues to decline at a mid-single-digit rate, with the third and fourth quarters down 2% or better combined as wholesale assortments refresh.
V.F. Corporation Price and Consensus
There are signs of progress inside the brand. Americas direct-to-consumer sales increased again, e-commerce gained and almost 60% of U.S. comparable stores were flat or growing. New versions of Authentic, Slip-On and Old Skool are generating sell-through. The problem is scale. Wholesale partners are carrying fewer of the newer products, and the recovery outside the Americas remains uneven.
The rest of VFC is providing a buffer. Outdoor segment revenues increased 5% year over year, with The North Face up 4% and Timberland up 3% in constant currency. The company also kept its adjusted operating margin target at about 8% for fiscal 2027. Net debt fell $1.1 billion year over year, while free cash flow improved about $75 million in the quarter, including roughly $50 million of tariff refunds.
VFC trades at 12.2X forward 12-month earnings per share, below the Zacks sub-industry's 14.7X. The earnings estimate for the current fiscal year has declined 2.7% in the past four weeks, leaving valuation support alongside a softer near-term earnings revision trend.
Crocs, Inc. CROX offers a useful casual-footwear comparison. Its second-quarter 2026 revenues reached a record $1.18 billion, while the Crocs Brand topped $1 billion in quarterly revenues even as HEYDUDE revenues declined 5.7%.
Under Armour, Inc. UAA is another consumer-brand turnaround facing uneven demand. Its first-quarter fiscal 2027 revenues declined 3%, footwear revenues fell 8% and the company lowered its full-year revenue outlook to a mid-single-digit decline while maintaining its profitability outlook.
The near-term setup for VFC remains mixed. Growth at The North Face and Timberland, a lower cost base and lower debt show that the turnaround is broader than Vans, but the company still needs Vans wholesale and international trends to improve materially in the second half. Until that happens, the brand remains the biggest test of the recovery.
VFC currently carries a Zacks Rank #3 (Hold). You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.
Its VGM Score of B and Value Score of A point to favorable value characteristics, while the Growth Score of C is middling and the Momentum Score of F reflects weak near-term price trends. That mix supports a measured view while investors watch for clearer evidence that Vans is stabilizing.
Research Chief Names "Single Best Pick to Double"
From thousands of stocks, 5 Zacks experts each have chosen their favorite to skyrocket +100% or more in months to come. From those 5, Director of Research Sheraz Mian hand-picks one to have the most explosive upside of all.
This company targets millennial and Gen Z audiences, generating nearly $1 billion in revenue last quarter alone. A recent pullback makes now an ideal time to jump aboard. Of course, all our elite picks aren’t winners but this one could far surpass earlier Zacks’ Stocks Set to Double like Nano-X Imaging which shot up +129.6% in little more than 9 months.
Free: See Our Top Stock And 4 Runners Up
Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report
Crocs, Inc. (CROX) : Free Stock Analysis Report

VFC Slides 14.2% in a Month as Vans Weakness Tests the Turnaround

Under Armour, Inc. UAA has lowered its fiscal 2027 revenue expectations while keeping its profitability targets intact, creating a split post-earnings picture. Softer demand is pressuring sales, but better margins and tighter spending are helping cushion the decline.
That divergence puts execution at the center of the investment case. The next test is whether Under Armour can preserve profitability while rebuilding demand without leaning more heavily on promotions.
Under Armour, Inc. Price, Consensus and EPS Surprise
UAA's Sales Outlook Weakens on Softer Demand
Fiscal 2027 revenues are now expected to decline at a mid-single-digit rate, versus the prior expectation for a slight decrease. Management tied the revision mainly to softer demand in North America and Asia-Pacific.
North America revenues are also projected to decline at a mid-single-digit rate for the year. Under Armour is prioritizing healthier revenue and tighter inventory management rather than pursuing short-term volume that could pressure margins or brand positioning.
Peer results show that demand and channel pressure are not unique to Under Armour. NIKE, Inc. NKE reported a 7% decline in fourth-quarter NIKE Direct revenues. lululemon athletica inc. LULU said first-quarter Americas revenues fell 3% and lowered its 2026 revenue outlook.
Under Armour Holds Its Profitability Targets
Despite the weaker sales forecast, adjusted operating income guidance remains $140-$160 million. Adjusted earnings guidance also remains 8-12 cents per share, indicating that management expects cost actions to offset much of the top-line pressure.
The first quarter offered evidence of that operating control. Adjusted operating income reached $52.4 million, above the company's prior outlook of $30-$40 million, even as revenues declined 3.2% year over year to $1,098 million.
UAA's Gross Margin Outlook Survives the Revenue Cut
Under Armour still expects fiscal 2027 gross margin to expand 220-270 basis points. About 150 basis points of that improvement is tied to refunds of tariff costs that were expensed in fiscal 2026.
Excluding that benefit, management still expects margin gains from pricing actions, lower discounting and a more favorable channel mix. Those drivers matter because the margin story is not expected to rely entirely on the tariff recovery.
Under Armour Leans Harder on SG&A Discipline
Adjusted selling, general and administrative expenses are now expected to decline at a low-single-digit rate, compared with the prior expectation for a low-single-digit increase. Under Armour is cutting discretionary spending while protecting selected strategic investments.
Marketing is also being concentrated behind fewer initiatives. Management expects tighter spending and prioritization to help maintain profitability while it continues investing in product innovation and efforts aimed at rebuilding full-price demand.
UAA Faces a Tougher Second-Quarter Setup
The second quarter is expected to remain difficult. Revenues are projected to decline at a high-single-digit rate as weakness persists in North America and parts of Asia-Pacific.
Adjusted operating income is forecast at $10-$20 million, while adjusted loss per share is expected at 1-3 cents. The quarter should provide another test of how effectively cost control can absorb continued revenue contraction.
UAA's Ratings Reflect a Mixed Post-Earnings Setup
The earnings update leaves investors with a clear trade-off. Margin recovery and expense discipline are helping protect profitability, but the revenue reset means the turnaround still depends on generating healthier consumer demand.
UAA currently carries a Zacks Rank #3 (Hold), which supports a wait-and-see posture rather than a fresh buy signal. Its Growth Score of A contrasts with a Value Score of D and Momentum Score of F, while the VGM Score is C, leaving the stock's Style Score profile mixed. You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.
Research Chief Names "Single Best Pick to Double"
From thousands of stocks, 5 Zacks experts each have chosen their favorite to skyrocket +100% or more in months to come. From those 5, Director of Research Sheraz Mian hand-picks one to have the most explosive upside of all.
This company targets millennial and Gen Z audiences, generating nearly $1 billion in revenue last quarter alone. A recent pullback makes now an ideal time to jump aboard. Of course, all our elite picks aren’t winners but this one could far surpass earlier Zacks’ Stocks Set to Double like Nano-X Imaging which shot up +129.6% in little more than 9 months.
Free: See Our Top Stock And 4 Runners Up
Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report
NIKE, Inc. (NKE) : Free Stock Analysis Report

UAA Cuts Revenue View but Keeps Profit Outlook as Margins Recover

Under Armour, Inc. UAA is showing better profitability even as demand remains soft. Margin expansion, restructuring and tighter spending are improving operating control, but weaker revenues and falling estimates keep the turnaround from looking complete.
The investment question is whether those efficiency gains can hold while the company rebuilds demand. Valuation adds another hurdle, making execution on product, pricing and channel discipline important.
Under Armour, Inc. Price, Consensus and EPS Surprise
UAA's Margin Expansion Shows Better Operating Control
First-quarter fiscal 2027 gross margin expanded 590 basis points to 54.1%, while adjusted operating income reached $52.4 million despite a 3.2% revenue decline. The operating result also exceeded management’s prior $30-$40 million outlook.
The margin improvement was heavily supported by a 640-basis-point benefit from tariff refunds, so the quarter was not driven solely by underlying operations. Still, Under Armour maintained its fiscal 2027 adjusted operating income outlook of $140-$160 million and expects tighter spending to help offset weaker sales.
Under Armour's Revenue Reset Keeps Growth in Question
Fiscal 2027 revenues are now expected to decline at a mid-single-digit rate, versus the prior view for a slight decline. North America, the company’s largest market, is also projected to fall at a mid-single-digit rate after first-quarter revenues dropped 9%.
Weakness extends beyond one region. Footwear revenues fell 7.7% in the first quarter, direct-to-consumer revenues declined 5.8% and e-commerce sales dropped 12%, showing that several important demand channels still need to stabilize.
UAA's Premium Valuation Raises the Hurdle for Buyers
UAA trades at 39.41X forward 12-month earnings per share. That compares with 14.69X for the Zacks sub-industry, 16.71X for the Zacks sector and 20.75X for the S&P 500.
The stock’s multiple is also more than double its five-year median of 19.42X. That valuation leaves less room for execution shortfalls while revenues are declining and earnings expectations are being revised lower.
Under Armour's Product Reset Offers Long-Term Upside
Under Armour is narrowing its assortment and targeting another 25% stock keeping unit reduction over the next 18 months. The $65 Bouncy Tee exceeded expectations at full price, HeatGear remained resilient and Velociti continues to support its technical running positioning. The $35 Helix tee is planned for later in fiscal 2027.
NIKE, Inc. NKE remains a major rival across athletic footwear and apparel, raising the bar for product differentiation and brand demand. lululemon athletica inc. LULU, which sells technical athletic apparel, footwear and accessories, adds another premium benchmark as Under Armour works to earn more full-price sales.
UAA's Estimate Revisions Add Near-Term Caution
The current fiscal-year earnings estimate has moved lower over several time frames. It declined 4.46% over one week, 6.14% over four weeks and 7.40% over 12 weeks.
Those revisions reinforce the need for evidence that product innovation and premiumization can translate into sustained demand. Better margins can support earnings, but a durable turnaround also requires the top line to stop contracting.
UAA's Mixed Scores Support a Cautious Hold View
The bottom line remains balanced. Under Armour is showing better cost control and encouraging product signals, but revenue weakness, estimate pressure and a premium valuation argue against treating the profitability improvement as a finished turnaround.
UAA currently carries a Zacks Rank #3 (Hold). It also has a Growth Score of A, Value Score of D, Momentum Score of F and VGM Score of C. The Growth Score points to favorable growth characteristics, but the weaker Value and Momentum scores temper the setup. With a #3 Rank, the mix supports patience while investors watch for clearer evidence that operating progress can convert into sustained demand. You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.
Research Chief Names "Single Best Pick to Double"
From thousands of stocks, 5 Zacks experts each have chosen their favorite to skyrocket +100% or more in months to come. From those 5, Director of Research Sheraz Mian hand-picks one to have the most explosive upside of all.
This company targets millennial and Gen Z audiences, generating nearly $1 billion in revenue last quarter alone. A recent pullback makes now an ideal time to jump aboard. Of course, all our elite picks aren’t winners but this one could far surpass earlier Zacks’ Stocks Set to Double like Nano-X Imaging which shot up +129.6% in little more than 9 months.
Free: See Our Top Stock And 4 Runners Up
Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report
NIKE, Inc. (NKE) : Free Stock Analysis Report

Is UAA a Buy or Hold as Margin Gains Clash With Revenue Weakness?

Under Armour, Inc. UAA shares fell 12.3% in one week, renewing questions about whether the turnaround is losing momentum or whether the selloff has improved the risk-reward setup.
The operating picture remains mixed. Weaker demand and falling earnings estimates contrast with better margins, tighter spending and early traction from higher-priced products.
Under Armour, Inc. Price, Consensus and EPS Surprise
UAA's One-Week Drop Meets a Weaker Sales Outlook
Under Armour now expects fiscal 2027 revenues to decline at a mid-single-digit rate, down from its prior outlook for a slight decrease. The revision reflects softer demand, particularly in North America and Asia-Pacific.
Second-quarter revenues are projected to fall at a high-single-digit rate. That outlook keeps near-term growth pressure elevated even as management maintains adjusted operating income guidance of $140-$160 million for the year.
Under Armour's North America Slump Raises the Stakes
North America revenues fell 9% to $609.8 million in the first quarter of fiscal 2027. Softer spring and summer wholesale orders and weaker traffic pressured e-commerce and stores, while direct-to-consumer revenues declined 5.8%.
The backdrop is challenging across athletic retail. NIKE, Inc. NKE, a major athletic footwear and apparel competitor, reported a 7% decline in fiscal 2026 fourth-quarter NIKE Direct revenues. lululemon athletica inc. LULU, a technical athletic apparel, footwear and accessories company, reported a 3% decline in first-quarter fiscal 2026 Americas revenues.
UAA's Margin Recovery Offers a Partial Counterweight
Gross margin expanded 590 basis points to 54.1% in the first quarter. Adjusted operating income reached $52.4 million, topping management's prior $30-$40 million outlook despite the 3.2% revenue decline.
The margin gain was heavily aided by a 640-basis-point benefit from tariff refunds. Still, Under Armour expects fiscal 2027 gross margin to expand 220-270 basis points, with underlying support from pricing, lower discounting and a more favorable channel mix.
Under Armour's Premiumization Faces a Demand Test
The $65 Bouncy Tee exceeded expectations while selling at full retail price, providing an early proof point for Under Armour's push to reduce promotional dependence. Management is also testing more full-price products and simplifying the assortment.
The harder test is scale. Footwear revenues fell 7.7% to $245.3 million, while e-commerce revenues dropped 12%. Product innovation can help, but broader consumer demand must improve enough for premiumization to offset weakness across major categories and channels.
UAA Valuation Leaves Little Room for Execution Misses
UAA trades at 39.4X forward 12-month earnings per share, versus 14.7X for the Zacks sub-industry and its own five-year median of 19.4X. That premium makes it difficult to argue that the one-week drop alone has made the shares inexpensive.
Estimate trends add caution. The Zacks Consensus Estimate for current-fiscal-year earnings has moved 6.1% lower over the past four weeks, suggesting that expectations are still being reset as the revenue outlook weakens.
UAA's Mixed Scores Keep the Setup Balanced
The one-week decline has lowered UAA's share price, but the operating case still depends on Under Armour converting better cost control and product discipline into steadier demand. Near-term sales pressure and a premium earnings multiple leave limited room for execution misses.
UAA currently carries a Zacks Rank #3 (Hold), with a VGM Score of C, Growth Score of A, Value Score of D and Momentum Score of F. The Growth Score is a positive, but weaker value and momentum characteristics keep the broader style profile mixed rather than signaling a clear near-term edge. You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.
Research Chief Names "Single Best Pick to Double"
From thousands of stocks, 5 Zacks experts each have chosen their favorite to skyrocket +100% or more in months to come. From those 5, Director of Research Sheraz Mian hand-picks one to have the most explosive upside of all.
This company targets millennial and Gen Z audiences, generating nearly $1 billion in revenue last quarter alone. A recent pullback makes now an ideal time to jump aboard. Of course, all our elite picks aren’t winners but this one could far surpass earlier Zacks’ Stocks Set to Double like Nano-X Imaging which shot up +129.6% in little more than 9 months.
Free: See Our Top Stock And 4 Runners Up
Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report
NIKE, Inc. (NKE) : Free Stock Analysis Report

UAA Falls 12.3% in One Week as Turnaround Risks Test Investor Patience

Take-Two Interactive Software, Inc. (TTWO) surged 6% after the company reported first-quarter 2026 earnings of $0.36 per share, beating the Zacks Consensus Estimate of $0.31 per share.
Under Armour, Inc. (UAA) fell 4.5% after the company reported first-quarter 2026 revenues of $1.1 billion, missing the Zacks Consensus Estimate by 0.93%.
The Wendy's Company (WEN) shares rose 4.1% after the company reported second-quarter 2026 earnings of $0.18 per share, beating the Zacks Consensus Estimate of $0.16 per share.
Fluor Corporation (FLR) shares surged 16.9% after the company reported second-quarter 2026 earnings of $0.91 per share, beating the Zacks Consensus Estimate of $0.73 per share.
Zacks' Research Chief Names "Stock Most Likely to Double"
Our team of experts has just released the 5 stocks with the greatest probability of gaining +100% or more in the coming months. Of those 5, Director of Research Sheraz Mian highlights the one stock set to climb highest.
This top pick is a little-known satellite-based communications firm. Space is projected to become a trillion dollar industry, and this company's customer base is growing fast. Analysts have forecasted a major revenue breakout in 2025. Of course, all our elite picks aren't winners but this one could far surpass earlier Zacks' Stocks Set to Double like Hims & Hers Health, which shot up +209%.
Free: See Our Top Stock And 4 Runners Up
Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.

Company News for Aug 10, 2026

In trading on Thursday, textiles shares were relative laggards, down on the day by about 4.1%. Helping drag down the group were shares of Under Armour, down about 9.2% on the day.
Also lagging the market Thursday are grocery & drug stores shares, down on the day by about 3.9% as a group, led down by Albertsons Companies, trading lower by about 23.7% and Natural Grocers By Vitamin Cottage, trading lower by about 7.3%.
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.

Under Armour, Inc.

Sign up and unlock all the capabilities of the AI-screener