Under Armour (NYSE:UAA) Shares Gap Down – Should You Sell?

Under Armour, Inc. (NYSE:UAA) shares gapped down before the market opened on Tuesday . The stock had previously closed at $7.86, but opened at $7.44. Under Armour shares last traded at $7.0740, with a volume of 3,182,926 shares trading hands.

Wall Street Analysts Forecast Growth

A number of research analysts have recently issued reports on UAA shares. Evercore lowered their price target on Under Armour from $5.00 to $4.00 and set an “underperform” rating on the stock in a report on Friday, November 7th. Robert W. Baird set a $8.00 target price on Under Armour in a research report on Monday. William Blair raised shares of Under Armour to a “hold” rating in a report on Thursday, November 6th. Telsey Advisory Group reissued a “market perform” rating and set a $6.00 price objective (up from $5.00) on shares of Under Armour in a report on Friday. Finally, Argus upgraded shares of Under Armour to a “hold” rating in a research report on Friday, January 16th. One equities research analyst has rated the stock with a Strong Buy rating, three have given a Buy rating, fifteen have assigned a Hold rating and four have assigned a Sell rating to the company. According to data from MarketBeat.com, the company presently has a consensus rating of “Hold” and an average price target of $6.94.

Under Armour Stock Down 8.6%

The company’s 50 day moving average price is $5.39 and its two-hundred day moving average price is $5.17. The company has a current ratio of 1.43, a quick ratio of 0.92 and a debt-to-equity ratio of 0.27. The stock has a market cap of $3.08 billion, a P/E ratio of -5.88, a PEG ratio of 7.70 and a beta of 1.83.

Under Armour (NYSE:UAA) last announced its earnings results on Friday, February 6th. The company reported $0.09 EPS for the quarter, beating analysts’ consensus estimates of ($0.02) by $0.11. The business had revenue of $1.33 billion during the quarter, compared to analysts’ expectations of $1.31 billion. Under Armour had a negative net margin of 10.44% and a positive return on equity of 1.48%. The firm’s revenue was down 5.2% on a year-over-year basis. During the same period in the prior year, the company earned $0.08 earnings per share. Under Armour has set its FY 2026 guidance at 0.100-0.110 EPS. Equities analysts forecast that Under Armour, Inc. will post 0.3 earnings per share for the current year.

Insider Buying and Selling

In related news, major shareholder V Prem Et Al Watsa acquired 1,112,119 shares of the firm’s stock in a transaction dated Wednesday, January 28th. The shares were purchased at an average price of $6.21 per share, with a total value of $6,906,258.99. Following the completion of the purchase, the insider directly owned 43,000,872 shares of the company’s stock, valued at $267,035,415.12. This represents a 2.65% increase in their ownership of the stock. The purchase was disclosed in a document filed with the Securities & Exchange Commission, which is accessible through this hyperlink. Insiders bought a total of 42,448,155 shares of company stock valued at $219,067,338 in the last three months. Corporate insiders own 15.60% of the company’s stock.

Institutional Investors Weigh In On Under Armour

A number of institutional investors and hedge funds have recently added to or reduced their stakes in UAA. Marshall Wace LLP boosted its stake in shares of Under Armour by 113.8% in the third quarter. Marshall Wace LLP now owns 6,296,543 shares of the company’s stock worth $31,420,000 after acquiring an additional 3,351,976 shares during the period. Whitebox Advisors LLC purchased a new position in Under Armour in the 3rd quarter worth approximately $11,237,000. Vanguard Group Inc. boosted its stake in Under Armour by 11.3% in the 4th quarter. Vanguard Group Inc. now owns 17,168,819 shares of the company’s stock worth $85,329,000 after purchasing an additional 1,747,120 shares during the period. Fort Baker Capital Management LP purchased a new stake in Under Armour during the 3rd quarter valued at approximately $8,624,000. Finally, Jupiter Asset Management Ltd. raised its position in shares of Under Armour by 249.4% during the second quarter. Jupiter Asset Management Ltd. now owns 2,379,513 shares of the company’s stock valued at $16,252,000 after buying an additional 1,698,467 shares during the last quarter. Institutional investors own 34.58% of the company’s stock.

Under Armour Company Profile

Under Armour, Inc (NYSE: UAA) is a global designer, marketer and distributor of performance athletic apparel, footwear and accessories. The company’s product portfolio spans a range of categories including training and running shoes, performance apparel engineered to manage moisture and temperature, and a variety of accessories such as bags, socks and headwear. Under Armour positions its offerings to serve athletes at every level—from professionals to everyday fitness enthusiasts—by combining innovative fabrics, advanced footwear technology and functional design.

Founded in 1996 by Kevin Plank, a former University of Maryland football player, Under Armour initially gained recognition for its moisture-wicking T-shirts, which provided a lightweight alternative to traditional cotton.