Under Armour is 'still in the early innings of global growth' (UAA)

pulse

May 1, 2018 6:41 PM

Under Armour is down on unfortunate guidance on its earnings call. But one analyst thinks the negativity doesn't do the company justice. It's international growth prospects can lead the way soon.

Shares are under pressure after the company warned gross margins will remain under pressure.
Jefferies analyst Randal Konik thinks Under Armour is poised for growth.
It has upside in its international businesses, and it's fixing its inventory problem.

Under Armour has big growth ahead, and it's positioned to tap into it fairly soon, Jefferies analyst Randal Konik wrote in a note sent out to clients on Tuesday.

The athletic-apparel maker reported first-quarter earnings Tuesday morning that beat Wall Street estimates. It posted a breakeven quarter on revenue of $1.2 billion. Both were better than expected. Still, shares are down almost 3% after the company said margins will remain under pressure.

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