Head to Head Comparison: Under Armour (UAA) and Its Competitors

Under Armour (NYSE:UAA) is one of 117 public companies in the “Textiles, Apparel & Luxury Goods” industry, but how does it weigh in compared to its peers? We will compare Under Armour to similar companies based on the strength of its dividends, valuation, earnings, risk, institutional ownership, analyst recommendations and profitability.

Profitability

This table compares Under Armour and its peers’ net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Under Armour	-9.80%	3.12%	1.05%
Under Armour Competitors	-3.13%	14.14%	2.99%

Analyst Recommendations

This is a summary of recent recommendations and price targets for Under Armour and its peers, as reported by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Under Armour	3	8	1	1	2.00
Under Armour Competitors	1658	7669	10098	367	2.46

Under Armour currently has a consensus price target of $5.80, suggesting a potential upside of 18.15%. As a group, “Textiles, Apparel & Luxury Goods” companies have a potential upside of 9.86%. Given Under Armour’s higher possible upside, equities research analysts plainly believe Under Armour is more favorable than its peers.

Valuation and Earnings

This table compares Under Armour and its peers gross revenue, earnings per share and valuation.

	Gross Revenue	Net Income	Price/Earnings Ratio
Under Armour	$4.97 billion	-$495.64 million	-4.42
Under Armour Competitors	$5.69 billion	$471.75 million	22.14

Under Armour’s peers have higher revenue and earnings than Under Armour. Under Armour is trading at a lower price-to-earnings ratio than its peers, indicating that it is currently more affordable than other companies in its industry.

Risk and Volatility

Under Armour has a beta of 1.58, meaning that its stock price is 58% more volatile than the S&P 500. Comparatively, Under Armour’s peers have a beta of 0.93, meaning that their average stock price is 7% less volatile than the S&P 500.

Institutional and Insider Ownership

34.6% of Under Armour shares are held by institutional investors. Comparatively, 54.1% of shares of all “Textiles, Apparel & Luxury Goods” companies are held by institutional investors. 15.7% of Under Armour shares are held by company insiders. Comparatively, 16.1% of shares of all “Textiles, Apparel & Luxury Goods” companies are held by company insiders. Strong institutional ownership is an indication that large money managers, endowments and hedge funds believe a stock will outperform the market over the long term.

Summary

Under Armour peers beat Under Armour on 10 of the 13 factors compared.

About Under Armour

Under Armour, Inc. develops, markets and sells performance apparel, footwear and accessories. Its products are designed for athletic training, competition and everyday use, and include technical apparel, running and training shoes, sports accessories and connected fitness offerings. Founded in 1996 by Kevin Plank, the company built its early business around moisture-wicking performance apparel. Under Armour sells products through wholesale partners and its own direct-to-consumer channels, including retail stores and e-commerce.