younder Armor (UAA) closed at $18.80 in the last trading session, marking a -0.05% move from the previous day. That change was narrower than the S&P 500’s 0.97% daily loss. Elsewhere, the Dow Jones lost 0.96%, while the tech-heavy Nasdaq added 0.23%.
Going into today, shares of the sportswear company had lost 8.24% over the past month, lagging the consumer discretionary sector’s 2.74% loss and the 0.78% loss of the S&P 500 during this period.
Investors are hoping for strength from Under Armor as it nears its next earnings release. The company is expected to post EPS of $0.06, down 50% from the prior year quarter. Meanwhile, our latest consensus estimate calls for revenue of $1.46 billion, up 3.88% from the year-ago quarter.
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. To benefit from this, we have developed the Zacks Rank, a proprietary model that takes into account these estimation changes and provides an actionable rating system.
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. In the past 30 days, our consensus EPS projection is down 0.62%. Under Armor currently sports a Zacks rank of #4 (sell).
Digging into the valuation, Under Armor currently has a Forward P/E ratio of 23.44. For comparison, its industry has an average Forward P/E of 12.04, which means Under Armor is trading at a premium to the group.
Additionally, it is worth mentioning that UAA has a PEG ratio of 0.94. This popular measure is similar to the widely known P/E ratio, except that the PEG ratio also takes into account the company’s expected earnings growth rate. The UAA industry had an average PEG ratio of 0.94 at yesterday’s close.
The Textile – Clothing industry is part of the Consumer Discretionary sector. This industry currently has a Zacks industry ranking of 42, which places it in the top 17% of over 250 industries.
The Zacks Industry Rankings are ranked from best to worst in terms of the average Zacks Ranking of individual companies in each of these industries. Our research shows that the top 50% of industries outperform the bottom half by a factor of 2 to 1.
Be sure to track all of these stock movement metrics, and more, at Zacks.com.
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Under Armour, Inc. (UAA): Free Stock Analysis Report
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