The stock of Under Armour Inc (NYSE: UA) has decreased by -1.68 when compared to last closing price of 7.14. Despite this, the company has experienced a 1.89% gain in its stock price over the last five trading sessions. Investopedia reported 2024-03-15 that Shares of Under Armour (UAA) fell 10% after the company announced this week that founder Kevin Plank will return as Chief Executive Officer (CEO) as of April 1, replacing Stephanie Linnartz. Analysts at Evercore ISI were among the first to downgrade the stock on the news, saying that the shift in leadership indicates prior growth strategies were not working and that anticipated new initiatives could pose “significant risk to the brand longer-term.
Is It Worth Investing in Under Armour Inc (NYSE: UA) Right Now?
The price-to-earnings ratio for Under Armour Inc (NYSE: UA) is above average at 7.88x, Company’s 36-month beta value is 1.63.Analysts have differing opinions on the stock, with 0 analysts rating it as a “buy,” 0 as “overweight,” 4 as “hold,” and 2 as “sell.”
The public float for UA is 145.82M, and currently, short sellers hold a 7.23% ratio of that floaft. The average trading volume of UA on April 02, 2024 was 3.40M shares.
UA’s Market Performance
UA stock saw a decrease of 1.89% in the past week, with a monthly decline of -17.80% and a quarterly a decrease of -17.41%. The volatility ratio for the week is 2.43%, and the volatility levels for the last 30 days are 2.88% for Under Armour Inc (UA). The simple moving average for the last 20 days is -6.21% for UA stock, with a simple moving average of -2.88% for the last 200 days.
Analysts’ Opinion of UA
Stifel gave a rating of “Hold” to UA, setting the target price at $28 in the report published on November 28th of the previous year.
UA Trading at -8.21% from the 50-Day Moving Average
After a stumble in the market that brought UA to its low price for the period of the last 52 weeks, the company was unable to rebound, for now settling with -21.91% of loss for the given period.
Volatility was left at 2.88%, however, over the last 30 days, the volatility rate increased by 2.43%, as shares sank -17.41% for the moving average over the last 20 days. Over the last 50 days, in opposition, the stock is trading -3.17% lower at present.
During the last 5 trading sessions, UA rose by +1.89%, which changed the moving average for the period of 200-days by +1.45% in comparison to the 20-day moving average, which settled at $7.41. In addition, Under Armour Inc saw -15.93% in overturn over a single year, with a tendency to cut further losses.
Insider Trading
Reports are indicating that there were more than several insider trading activities at UA starting from Plank Kevin A, who sale 16,000,000 shares at the price of $6.13 back on May 31 ’23. After this action, Plank Kevin A now owns 0 shares of Under Armour Inc, valued at $98,080,000 using the latest closing price.
Stock Fundamentals for UA
Current profitability levels for the company are sitting at:
- 0.05 for the present operating margin
- 0.45 for the gross margin
The net margin for Under Armour Inc stands at 0.07. The total capital return value is set at 0.09. Equity return is now at value 20.12, with 8.16 for asset returns.
Based on Under Armour Inc (UA), the company’s capital structure generated 0.41 points at debt to capital in total, while cash flow to debt ratio is standing at 0.04. The debt to equity ratio resting at 0.7. The interest coverage ratio of the stock is -145.75.
Currently, EBITDA for the company is 421.43 million with net debt to EBITDA at 1.87. When we switch over and look at the enterprise to sales, we see a ratio of 0.67. The receivables turnover for the company is 7.28for trailing twelve months and the total asset turnover is 1.24. The liquidity ratio also appears to be rather interesting for investors as it stands at 2.13.
Conclusion
In a nutshell, Under Armour Inc (UA) has experienced a bad performance in recent times. The stock has received mixed “buy” and “hold” ratings from analysts. It’s important to note that the stock is currently trading at a significant distance from its 50-day moving average and its 52-week high.
