FMP

FMP

Under Armour's Financial Performance and Outlook

  • Under Armour (NYSE: UA) reported earnings per share of $0.09, surpassing the estimated loss of $0.015, with revenue of approximately $1.33 billion, exceeding the estimated $1.16 billion.
  • The company has adjusted its revenue expectations for fiscal 2026, anticipating a decline at the milder end of its forecast due to challenges in North American and Asia-Pacific markets and ongoing tariff pressures.

Under Armour (NYSE: UA) is a well-known sportswear company that designs and sells athletic apparel, footwear, and accessories. The company competes with major brands like Nike and Adidas. On February 6, 2026, Under Armour reported earnings per share of $0.09, surpassing the estimated loss of $0.015. The company also reported revenue of approximately $1.33 billion, exceeding the estimated $1.16 billion.

Despite these positive results, Under Armour has adjusted its revenue expectations for fiscal 2026, anticipating a decline at the milder end of its forecast. This outlook comes amid challenges such as weak demand in North American and Asia-Pacific markets and ongoing tariff pressures. However, the company remains optimistic about its performance, as highlighted by WSJ.

Under Armour's third-quarter revenue decline was smaller than anticipated, thanks to successful turnaround efforts aimed at simplifying its product assortment. These efforts have helped stabilize demand during the crucial holiday season. The company's President and CEO, Kevin Plank, expressed optimism about the progress made, noting that their third-quarter adjusted operating results surpassed expectations.

The price-to-sales ratio is about 0.60, suggesting investors pay 60 cents for every dollar of sales. The enterprise value to sales ratio is approximately 0.90, reflecting the company's valuation relative to its revenue. The enterprise value to operating cash flow ratio is around 51.69, indicating a high valuation compared to cash flow from operations. The debt-to-equity ratio is about 1.02, suggesting slightly more debt than equity. The current ratio is approximately 1.69, indicating good liquidity to cover short-term liabilities.