IIn the last trading session, Under Armor (UAA) closed at $17.50, marking a +1.98% move from the previous day. That move topped the S&P 500’s 1.17% daily gain. Elsewhere, the Dow gained 0.8%, while the tech-heavy Nasdaq gained 0.18%.
As of today, shares of the sportswear company have gained 3.81% over the past month. Meanwhile, the consumer discretionary sector lost 5.02%, while the S&P 500 gained 0.88%.
Wall Street will be looking for positivity from Under Armor as its next earnings report date nears. The company is expected to post EPS of $0.04, down 75% from the prior year quarter. Meanwhile, our latest consensus estimate calls for revenue of $1.33 billion, up 5.84% from the prior year quarter.
Zacks consensus estimates for the full year of UAA call for earnings of $0.74 per share and revenue of $5.96 billion. These results would represent year-over-year variations of -12.94% and +4.94%, respectively.
Investors should also note any recent changes to analyst estimates for Under Armour. These recent revisions tend to reflect the evolving nature of short-term trading trends. Thus, positive revisions to estimates reflect analysts’ optimism about the company’s business and profitability.
Based on our research, we believe that these estimate revisions are directly related to the team’s close stock movements. We developed the Zacks Rank to capitalize on this phenomenon. Our system takes into account these estimation changes and provides a clear and actionable scoring model.
Ranging from #1 (Strong Buy) to #5 (Strong Sell), the Zacks Rank system has a proven track record of outperformance, with #1 stocks returning an average of +25% per year since 1988. Over the past few months, the Zacks Consensus EPS estimate has fallen 2.91%. Under Armor currently holds a Zacks rank of #3 (Hold).
Investors should also note Under Armour’s current valuation metrics, including its Forward P/E ratio of 23.35. That’s a premium to its industry average PER of 11.99.
The Textile – Clothing industry is part of the Consumer Discretionary sector. This group has a Zacks Industry ranking of 47, which places it in the top 19% of over 250 industries.
The Zacks Industry Ranking assesses the strength of our individual industry groups by measuring the average Zacks Ranking of individual stocks within the groups. Our research shows that the top 50% of industries outperform the bottom half by a factor of 2 to 1.
To follow UAA in future trading sessions, be sure to use Zacks.com.
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