Athletic apparel company Under Armour (NYSE: UAA) will be reporting results this Friday before market open. Here’s what you need to know.
Under Armour met analysts’ revenue expectations last quarter, reporting revenues of $1.17 billion, flat year on year. It was a disappointing quarter for the company, with full-year EPS guidance missing analysts’ expectations significantly and a significant miss of analysts’ adjusted operating income estimates.
Is Under Armour a buy or sell going into earnings? Read our full analysis here, it’s free for active Edge members.
This quarter, the market is expecting Under Armour’s revenue to decline 2.1% year on year, improving from the 4.2% decrease it recorded in the same quarter last year.
Analysts covering the company have generally reconfirmed their estimates over the last 30 days, suggesting they anticipate the business will stay the course heading into earnings. Under Armour rarely misses Wall Street’s revenue estimates.
Looking at Under Armour’s peers in the consumer discretionary - apparel and accessories segment, some have already reported their Q2 results, giving us a hint as to what we can expect. Levi's delivered year-on-year revenue growth of 8%, beating analysts’ expectations by 2.9%, and Carter's reported revenues up 5.2%, topping estimates by 1.6%. Levi's traded down 2.2% following the results while Carter's was up 5.6%.
Read our full analysis of Levi’s results here and Carter’s results here.
Investors in the consumer discretionary - apparel and accessories segment have had steady hands going into earnings, with share prices up 1.4% on average over the last month. Under Armour’s stock price was unchanged during the same time and is heading into earnings with an average analyst price target of $6.44 (compared to the current share price of $6.76).
WHILE YOU’RE HERE: The Next Palantir? One satellite company captures images of every point on Earth. Every single day. The Pentagon wants it. Hedge funds are using it to beat earnings. You’ve probably never heard of it.
This is what the early days of Palantir looked like before it became a giant. Same playbook. Different technology. If you missed Palantir, you need to see this. Claim The Stock Ticker for Free HERE.
