Citigroup Has Lowered Expectations for Under Armour (NYSE:UAA) Stock Price

Key Points

• Citigroup has reduced its price target for Under Armour (NYSE:UAA) stock from $5.50 to $5.00, maintaining a "neutral" rating, indicating a potential upside of only 2.56% from the current price.
• In recent analyst reports, other firms also lowered their price targets for Under Armour, with average ratings reflecting a predominantly "hold" sentiment among analysts.
• Insider buying activity has increased, with multiple directors purchasing significant shares in the company, suggesting confidence in Under Armour's future despite recent price target reductions.

Under Armour (NYSE:UAA - Get Free Report) had its price objective lowered by stock analysts at Citigroup from $5.50 to $5.00 in a note issued to investors on Tuesday,Benzinga reports. The brokerage currently has a "neutral" rating on the stock. Citigroup's price objective points to a potential upside of 2.56% from the stock's current price.

Several other equities analysts have also recently weighed in on UAA. Robert W. Baird cut their price objective on Under Armour from $7.00 to $6.00 and set a "neutral" rating for the company in a research report on Monday, August 11th. The Goldman Sachs Group initiated coverage on Under Armour in a report on Wednesday, July 2nd. They issued a "neutral" rating and a $7.00 price target for the company. Telsey Advisory Group cut their price target on Under Armour from $7.00 to $5.00 and set a "market perform" rating for the company in a report on Monday, August 11th. JPMorgan Chase & Co. cut their price target on Under Armour from $6.00 to $5.00 and set an "underweight" rating for the company in a report on Friday, August 8th. Finally, Rothschild & Co Redburn reiterated a "neutral" rating and issued a $6.00 price objective (down from $7.00) on shares of Under Armour in a research note on Monday, September 15th. Three equities research analysts have rated the stock with a Buy rating, seventeen have given a Hold rating and four have given a Sell rating to the company. According to MarketBeat, the company presently has an average rating of "Reduce" and an average target price of $6.67.

Under Armour Stock Performance

Shares of NYSE UAA traded up $0.15 during trading hours on Tuesday, hitting $4.88. 4,632,002 shares of the company's stock were exchanged, compared to its average volume of 12,767,741. Under Armour has a 1-year low of $4.72 and a 1-year high of $11.89. The company has a debt-to-equity ratio of 0.21, a current ratio of 1.53 and a quick ratio of 0.93. The stock has a market capitalization of $2.09 billion, a price-to-earnings ratio of 22.16, a PEG ratio of 4.05 and a beta of 1.76. The company's 50-day moving average price is $4.97 and its 200-day moving average price is $5.91.

Under Armour (NYSE:UAA - Get Free Report) last posted its quarterly earnings data on Friday, August 8th. The company reported $0.02 earnings per share for the quarter, missing the consensus estimate of $0.03 by ($0.01). Under Armour had a return on equity of 7.24% and a net margin of 1.99%.The business had revenue of $1.13 billion for the quarter, compared to analyst estimates of $1.13 billion. During the same period in the prior year, the firm posted $0.01 EPS. Under Armour's revenue for the quarter was down 4.2% on a year-over-year basis. Under Armour has set its Q2 2026 guidance at 0.010-0.020 EPS. On average, sell-side analysts expect that Under Armour will post 0.3 earnings per share for the current fiscal year.

Insider Buying and Selling

In other Under Armour news, Director Dawn N. Fitzpatrick purchased 100,000 shares of the firm's stock in a transaction that occurred on Wednesday, August 13th. The shares were acquired at an average cost of $4.93 per share, for a total transaction of $493,000.00. Following the transaction, the director directly owned 133,696 shares in the company, valued at approximately $659,121.28. The trade was a 296.77% increase in their ownership of the stock. The purchase was disclosed in a filing with the SEC, which is available through this link. Also, Director Robert John Sweeney purchased 100,000 shares of the firm's stock in a transaction that occurred on Thursday, August 21st. The shares were acquired at an average price of $4.88 per share, for a total transaction of $488,000.00. Following the completion of the transaction, the director owned 133,696 shares in the company, valued at $652,436.48. The trade was a 296.77% increase in their ownership of the stock. The disclosure for this purchase can be found here. Over the last 90 days, insiders have purchased 202,045 shares of company stock worth $991,000. 15.60% of the stock is owned by corporate insiders.

Institutional Investors Weigh In On Under Armour

A number of large investors have recently bought and sold shares of UAA. Boston Partners bought a new stake in Under Armour during the 1st quarter worth approximately $17,745,000. Jupiter Asset Management Ltd. lifted its holdings in Under Armour by 249.4% during the 2nd quarter. Jupiter Asset Management Ltd. now owns 2,379,513 shares of the company's stock worth $16,252,000 after buying an additional 1,698,467 shares in the last quarter. Marshall Wace LLP lifted its holdings in Under Armour by 109.3% during the 2nd quarter. Marshall Wace LLP now owns 2,944,567 shares of the company's stock worth $20,111,000 after buying an additional 1,537,713 shares in the last quarter. American Century Companies Inc. lifted its holdings in Under Armour by 36.2% during the 1st quarter. American Century Companies Inc. now owns 5,465,814 shares of the company's stock worth $34,161,000 after buying an additional 1,452,143 shares in the last quarter. Finally, Norges Bank acquired a new position in Under Armour during the 2nd quarter worth $9,918,000. 34.58% of the stock is currently owned by institutional investors.

About Under Armour

Under Armour, Inc, together with its subsidiaries, engages developing, marketing, and distributing performance apparel, footwear, and accessories for men, women, and youth. The company provides its apparel in compression, fitted, and loose fit types. It also offers footwear products for running, training, basketball, cleated sports, recovery, and outdoor applications.

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