Under Armour, Inc. (NYSE: UAA)

Sector: Consumer Cyclical Industry: Apparel Manufacturing CIK: 0001336917
Market Cap 3.22 Bn
P/B 2.24
P/E -6.20
P/S 0.65
ROIC (Qtr) -15.75
Div Yield % 0.00
Rev 1y % (Qtr) -5.23
Total Debt (Qtr) 1.69 Bn
Debt/Equity (Qtr) 1.18

About

Under Armour, Inc., commonly known by its stock symbol UAA, is a prominent player in the global athletic apparel and footwear industry. Since its inception in 1996, the company has been dedicated to developing, marketing, and distributing branded performance apparel, footwear, and accessories for men, women, and youth. Under Armour's operations span various geographical segments, including North America, Europe, Middle East, and Africa (EMEA), Asia-Pacific, and Latin America. Under Armour's revenue is generated from the sale of its products across...

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Price action

Investment thesis

Bull case

  • Cash reserves of 464.65M provide ample 397.82x coverage of acquisition spending 1.17M, enabling strategic growth opportunities.
  • Robust tangible asset base of 4.13B provides 4.59x coverage of working capital 899.56M, indicating strong operational backing.
  • Tangible assets of 4.13B provide robust 6.03x coverage of other current liabilities 684.64M, indicating strong asset backing.
  • Cash reserves of 464.65M provide solid 2.95x coverage of other non-current liabilities 157.28M, indicating strong liquidity.
  • Cash position of 464.65M represents healthy 0.52x of working capital 899.56M, demonstrating strong operational liquidity.

Bear case

  • Operating cash flow of 54.88M barely covers its investment activities of (700.86M), with a coverage ratio of -0.08, indicating heavy reliance on external financing for growth which may not be sustainable in a tighter credit environment.
  • The company's operating cash flow of 54.88M shows concerning coverage of stock compensation expenses of 47.97M, with a 1.14 ratio indicating potential earnings quality issues.
  • Free cash flow of (45.91M) provides weak coverage of capital expenditures of 100.79M, with a -0.46 ratio suggesting additional external financing needs for growth initiatives.
  • Operating earnings of (213.15M) show weak coverage of depreciation charges of 122.55M, with a -1.74 ratio indicating high capital intensity and potential reinvestment needs.
  • Operating cash flow of 54.88M provides minimal 0.19x coverage of tax expenses of 281.69M, suggesting potential tax planning inefficiencies or unsustainable tax positions.

Consolidation Items Breakdown of Revenue (2025)

Consolidation Items Breakdown of Revenue (2025)

Peer comparison

Companies in the Apparel Manufacturing
S.No. Ticker Company Market Cap P/E P/S Total Debt (Qtr)
1 RL Ralph Lauren Corp 21.00 Bn 22.86 2.68 2.84 Bn
2 GIL Gildan Activewear Inc. 10.78 Bn 22.68 3.21 1.87 Bn
3 LEVI Levi Strauss & Co 8.14 Bn 14.08 1.30 2.31 Bn
4 VFC V F Corp 7.97 Bn 35.68 0.83 5.34 Bn
5 PVH Pvh Corp. /De/ 4.70 Bn 10.38 0.52 4.26 Bn
6 COLM Columbia Sportswear Co 4.28 Bn 33.91 1.69 0.48 Bn
7 KTB Kontoor Brands, Inc. 3.79 Bn 48.22 1.57 1.50 Bn
8 UAA Under Armour, Inc. 3.22 Bn -6.20 0.65 1.69 Bn

Industry comparisons

Current Valuation Value Ind Avg Percentile
EV to Assets EV to Assets 1.02 1.00
EV to Cash from Ops. EV/CFO 86.08 12.51
EV to Debt EV to Debt 2.80 4.24
EV to EBIT EV/EBIT -22.16 7.83
EV to EBITDA EV/EBITDA -59.85 -92.26
EV to Free Cash Flow [EV/FCF] EV/FCF -102.90 14.76
EV to Market Cap EV to Market Cap 1.47 1.66
EV to Revenue EV/Rev 0.95 1.26
Price to Book Value [P/B] P/B 2.24 -7.01
Price to Earnings [P/E] P/E -6.20 19.88
Dividend Metrics Value Ind Avg Percentile
Dividend Coverage Ratio Div Coverage (Qtr) 0.00 -1.12
Dividend Payout Ratio % Div Payout % (Qtr) 0.00 -7.80
Dividend per Basic Share Div per Share (Qtr) 0.00 0.52
FCF Dividend Payout Ratio % FCF Div Payout % (Qtr) 0.00 20.55
Interest Coverage Int. cover (Qtr) -8.57 26.78
Growth Metrics Value Ind Avg Percentile
Capex Growth (1y) % Capex 1y % (Qtr) 41.96 -50.55
Cash and Equivalents Growth (1y) % Cash & Equiv 1y % (Qtr) -36.08 10.92
Dividend Growth (1y) % Dividend Growth (1y) % 0.00 2.93
EBIAT Growth (1y) % EBIAT 1y % (Qtr) -266.66 -91.44
EBITDA Growth (1y) % EBITDA 1y % (Qtr) -483.74 -14.51
EBIT Growth (1y) % EBIT 1y % (Qtr) -65.31 -43.47
EBT Growth (1y) % EBT 1y % (Qtr) -84.14 -175.39
EPS Growth (1y) % EPS 1y % (Qtr) -320.69 -217.90
FCF Growth (1y) % FCF 1y % (Qtr) 70.12 -25.41
Gross Profit Growth (1y) % Gross Profit 1y % (Qtr) -8.16 7.11
Liquidity Ratios Value Ind Avg Percentile
Asset Utilization Ratio Asset Util Ratio (Qtr) 1.07 1.16
Cash Payout Ratio Cash Payout (Qtr) 0.00 0.15
Cash Ratio Cash Ratio (Qtr) 0.22 0.33
Current Ratio Curr Ratio (Qtr) 1.43 2.00
Debt to Equity Ratio Debt/Equity (Qtr) 1.18 -1.70
Interest Cover Ratio Int Coverage (Qtr) -8.57 26.78
Times Interest Earned Times Interest Earned (Qtr) -8.57 26.78
Profitability Value Ind Avg Percentile
EBITDA Margin % EBITDA Margin % (Qtr) -1.80 -6.80
EBIT Margin % EBIT Margin % (Qtr) -4.28 -10.74
EBT Margin % EBT Margin % (Qtr) -4.78 -17.49
Gross Margin % Gross Margin % (Qtr) 46.60 49.32
Net Profit Margin % Net Margin % (Qtr) -10.40 -19.24