Williams Trading analyst Sam Poser has adjusted his outlook on Under Armour (UAA), reducing the stock's price target from $14 to $8 while maintaining a Buy rating. This revision is part of a broader reduction across the firm's retail sector forecasts, which included an average 20.4% decrease in price-to-earnings multiples.
The adjustments reflect mounting uncertainties tied to the impact of tariffs, particularly those affecting margins, pricing, and consumer demand. The imposition of a new 145% tariff on Chinese goods has led to a halt in product shipments to the United States, posing challenges for companies like Under Armour that have significant reliance on Chinese production and a substantial portion of sales occurring in the U.S. market.
Given these conditions, Williams Trading anticipates that many companies within their coverage may either withdraw forward guidance or refrain from issuing any. The ongoing trade tensions and their subsequent effects on supply chains and market demand are key factors influencing these strategic decisions.
Wall Street Analysts Forecast
Based on the one-year price targets offered by 1 analysts, the average target price for Under Armour Inc (UA, Financial) is $10.00 with a high estimate of $10.00 and a low estimate of $10.00. The average target implies an upside of 88.80% from the current price of $5.30. More detailed estimate data can be found on the Under Armour Inc (UA) Forecast page.
Based on the consensus recommendation from 1 brokerage firms, Under Armour Inc's (UA, Financial) average brokerage recommendation is currently 2.0, indicating "Outperform" status. The rating scale ranges from 1 to 5, where 1 signifies Strong Buy, and 5 denotes Sell.
Based on GuruFocus estimates, the estimated GF Value for Under Armour Inc (UA, Financial) in one year is $7.16, suggesting a upside of 35.18% from the current price of $5.2965. GF Value is GuruFocus' estimate of the fair value that the stock should be traded at. It is calculated based on the historical multiples the stock has traded at previously, as well as past business growth and the future estimates of the business' performance. More detailed data can be found on the Under Armour Inc (UA) Summary page.
