Back to top

Analyst Blog

Shares of Under Armour, Inc. (UA - Analyst Report) surged to attain a new 52-week high of $74.45 on Aug 12, 2013, before closing at $73.93, gaining momentum from the phenomenal second-quarter 2013 results. Year-to-date, this Zacks Rank #3 (Hold) stock has generated a return of roughly 53%.

Based on the current price, this apparel, footwear, and accessories retailer is 10% above the Zacks Consensus average analyst price target of $67.16. The company currently trades at a forward P/E of 51.07x, a substantial premium to the peer group average of 20.67x. Additionally, the company’s long-term estimated EPS growth rate is 20.9%.

Barring few hiccups, the stock has been on the rise, since Under Armour reported its results on Jul 25, 2013. The company posted quarterly earnings of 16 cents a share that surged 166.7% from the year-ago quarter, and surpassed the Zacks Consensus Estimate of 14 cents, thereby marking the 18th consecutive positive earnings surprise. The average beat for the last 18 quarters stands at 50.5%.

The company’s largest product category, Apparel, once again witnessed strong sales. In fact this is the 15th straight quarter in which the segment registered at least 20% growth. Apparel sales jumped 22.7%, and facilitated Under Armour to register 23% growth in its top line to $454.5 million.

Consequently, Under Armour raised its guidance for 2013. The company now expects net revenue in the range of $2.23 billion – $2.25 billion, up 22% – 23% year over year. Earlier, it forecasted 2013 revenue in the range of $2.21 billion – $2.23 billion, representing growth of 21% – 22%.

Apart from Time Warner, other stocks such as Archer Daniels Midland Company (ADM - Analyst Report), Skechers USA Inc. (SKX - Analyst Report) and Michael Kors Holdings Limited (KORS - Analyst Report) achieved new 52-week highs of $38.59, $29.05 and $72.54, respectively, on Aug 12, 2013.

Please login to or register to post a comment.

New to Zacks?

Start Here

Zacks Investment Research


Are you a new Zacks Member or a visitor to

Top Zacks Features

My Portfolio Tracker

Is it Time to Sell?

One of the most important steps you can take today is to set up your portfolio tracker on Once you do, you'll be notified of major events affecting your stocks and/or funds with daily email alerts.

More Zacks Resources

Zacks Rank Home - Evaluate your stocks and use the Zacks Rank to eliminate the losers and keep the winners.

Mutual Fund Rank Home - Evaluate your funds with the Mutual Fund Rank for both your personal and retirement funds.

Stock/Mutual Fund Screening - Find better stocks and mutual funds. The ones most likely to beat the market and provide a positive return.

My Portfolio - Track your Portfolio and find out where your stocks/mutual funds stack up with the Zacks Rank.

Zacks #1 Rank Top Movers for Zacks #1 Rank Top Movers

Company Symbol Price %Chg
CENTURY ALU… CENX 22.53 +4.50%
ERBA DIAGNO… ERB 2.91 +4.30%
PLANAR SYST… PLNR 4.31 +3.86%
MALLINCKROD… MNK 72.17 +3.83%
GTT COMMUNI… GTT 12.06 +3.52%