Under Armour (NYSE:UAA) Shares Gap Up on Earnings Beat

Under Armour, Inc. (NYSE:UAA)’s share price gapped up prior to trading on Tuesday following a better than expected earnings announcement. The stock had previously closed at $6.21, but opened at $6.44. Under Armour shares last traded at $6.24, with a volume of 1,929,594 shares.

The company reported ($0.08) earnings per share for the quarter, topping the consensus estimate of ($0.09) by $0.01. Under Armour had a positive return on equity of 11.03% and a negative net margin of 2.39%. The firm had revenue of $1.18 billion during the quarter, compared to analysts’ expectations of $1.16 billion.

Wall Street Analysts Forecast Growth

Several analysts have recently issued reports on UAA shares. Citigroup reduced their price objective on Under Armour from $8.00 to $6.00 and set a “neutral” rating on the stock in a research report on Monday, April 28th. Barclays dropped their price target on Under Armour from $8.00 to $6.00 and set an “equal weight” rating for the company in a research note on Monday. Bank of America lowered their target price on Under Armour from $10.00 to $8.00 and set a “neutral” rating for the company in a research note on Wednesday. Truist Financial lowered their price objective on Under Armour from $9.00 to $7.00 and set a “hold” rating for the company in a research note on Wednesday. Finally, UBS Group increased their target price on Under Armour from $7.00 to $8.00 and gave the stock a “buy” rating in a report on Thursday, May 1st. Four research analysts have rated the stock with a sell rating, fourteen have issued a hold rating and four have issued a buy rating to the company’s stock. According to MarketBeat.com, the stock has an average rating of “Hold” and a consensus target price of $7.24.

Hedge Funds Weigh In On Under Armour

A number of hedge funds have recently modified their holdings of UAA. Harbor Capital Advisors Inc. boosted its position in Under Armour by 40.1% during the fourth quarter. Harbor Capital Advisors Inc. now owns 66,001 shares of the company’s stock valued at $546,000 after purchasing an additional 18,906 shares during the last quarter. Marcum Wealth LLC bought a new position in shares of Under Armour in the fourth quarter worth about $395,000. Kera Capital Partners Inc. bought a new position in Under Armour during the fourth quarter valued at about $189,000. M.E. Allison & CO. Inc. bought a new position in Under Armour during the fourth quarter valued at about $156,000. Finally, MCF Advisors LLC increased its stake in Under Armour by 7.6% during the fourth quarter. MCF Advisors LLC now owns 20,187 shares of the company’s stock valued at $167,000 after acquiring an additional 1,419 shares during the period. 34.58% of the stock is currently owned by institutional investors and hedge funds.

Under Armour Price Performance

The company has a quick ratio of 1.19, a current ratio of 2.01 and a debt-to-equity ratio of 0.30. The business has a fifty day simple moving average of $6.03 and a two-hundred day simple moving average of $7.64. The company has a market capitalization of $2.70 billion, a price-to-earnings ratio of -21.62 and a beta of 1.54.

About Under Armour

Under Armour, Inc, together with its subsidiaries, engages developing, marketing, and distributing 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.