Shares of athletic apparel company Under Armour (NYSE:UAA)
jumped 6.2% in the afternoon session after the disclosure of a significant stock purchase by a board member, signaling strong insider confidence. According to SEC filings, board member Dawn N. Fitzpatrick purchased 100,000 shares for a total of $493,000, increasing her ownership by nearly 300%. Such a substantial investment by an insider is often seen by investors as a strong vote of confidence in the company's future, suggesting that leadership may believe the stock is undervalued. Bolstering this sentiment, the company's Chief Accounting Officer, Eric J. Aumen, also made a smaller purchase of company stock. These insider buys are particularly noteworthy as they come while the stock is trading near its 52-week low, signaling that management may view the current share price as an attractive entry point.
Under Armour’s second quarter results were met with a significant negative market reaction, as the company reported a year-on-year revenue decline and maintained profit levels in line with Wall Street expectations. Management attributed the performance to ongoing challenges in North America, particularly in the wholesale and e-commerce channels, and highlighted the impact of a more competitive promotional environment. CEO Kevin Plank acknowledged, "The environment is challenging, with limited spending, higher promotions, and a dynamic domestic tariff policy." Plank also emphasized that efforts to streamline product assortments and rebuild brand relevance are underway, but that these changes will take time to reflect in financial outcomes.
In a dynamic day for the financial markets, a select group of companies defied broader trends, experiencing significant surges in their stock prices and emerging as today's top gainers. NXP Semiconductors (NASDAQ: NXPI), Brinker International (NYSE: EAT), Gildan Activewear (NYSE: GIL), Sea Limited (NYSE: SE), On Holding AG (NYSE: ONON)
Consumer discretionary businesses are levered to the highs and lows of economic cycles. This sensitive demand profile can cause discretionary stocks to plummet when macro uncertainty enters the fray,
and over the past six months, the industry has shed 4.1%. This drop was disappointing since the S&P 500 climbed 5.4%.
A number of stocks jumped in the afternoon session after the latest Consumer Price Index (CPI) report showed inflation holding steady, bolstering investor optimism for a potential interest rate cut by the Federal Reserve. The data, which revealed that inflation remained at 2.7% for the year ending in July, was seen as a positive sign by investors. This stability increases the likelihood that the Federal Reserve might lower interest rates at its upcoming September meeting. Lower interest rates can stimulate the economy by making borrowing cheaper for both consumers and businesses, which often translates into higher consumer spending. This is particularly beneficial for the Consumer Discretionary sector, which includes companies selling non-essential goods and services like apparel, travel, and electronics.
Athletic apparel company Under Armour (NYSE:UAA) met Wall Street’s revenue expectations in Q2 CY2025, but sales fell by 4.2% year on year to $1.13 billion. On the other hand, next quarter’s revenue guidance of $1.31 billion was less impressive, coming in 4.1% below analysts’ estimates. Its non-GAAP profit of $0.02 per share was in line with analysts’ consensus estimates.
The company's Q2 forecast fell short of expectations, causing its shares to plummet 18% on Friday. Some analysts say investors have an overtly bearish view.
Shares of athletic apparel company Under Armour (NYSE:UAA)
fell 22.4% in the morning session after the company reported second-quarter results and issued a significantly weaker-than-expected outlook for the third quarter. The sportswear maker's revenue for the second quarter came in at $1.13 billion, which met Wall Street's expectations but represented a 4.2% decline year-over-year. However, its adjusted earnings per share of $0.02 missed consensus estimates. The main concern for investors was the bleak guidance for the upcoming quarter. Under Armour projected third-quarter revenue of $1.31 billion, falling 4.1% short of analyst forecasts. More dramatically, the company guided for adjusted earnings per share of just $0.02 at the midpoint, a stark contrast to the consensus estimate of $0.26.
Under Armour stock sinks after missing Wall Street estimates with first-quarter fiscal 2026 results of $1.13 billion in revenue and $9 million in adjusted net income.
Under Armour's Q1 fiscal 2026 earnings miss estimates, with weak Q2 outlook sparking a 15.7% pre-market stock plunge. Revenue and EPS fall short amid ongoing demand challenges.
Athletic apparel company Under Armour (NYSE:UAA) met Wall Street’s revenue expectations in Q2 CY2025, but sales fell by 4.2% year on year to $1.13 billion. On the other hand, next quarter’s revenue guidance of $1.31 billion was less impressive, coming in 4.1% below analysts’ estimates. Its non-GAAP profit of $0.02 per share was in line with analysts’ consensus estimates.
