Under Armour: Rating Downgrade To Sell As Valuation Upgrade Is Not Justified
Summary
- I downgraded Under Armour to a sell as revenue continues to decline, and key initiatives show little progress, especially in North America.
- DTC and footwear segments remain weak, with full-price repositioning and portfolio management strategies failing to revive demand.
- Tariff risks add significant uncertainty, threatening margins and complicating any turnaround amid already soft consumer demand.
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