UNDER ARMOUR INC-CLASS A (UAA) Stock Fundamental Analysis
NYSE:UAA - New York Stock Exchange, Inc. - US9043111072 - Common Stock - Currency: USD
Overall UAA gets a fundamental rating of 3 out of 10. We evaluated UAA against 48 industry peers in the Textiles, Apparel & Luxury Goods industry. The financial health of UAA is average, but there are quite some concerns on its profitability. UAA is quite expensive at the moment. It does show a decent growth rate.
1. Profitability
1.1 Basic Checks
UAA had positive earnings in the past year.
In the past year UAA has reported a negative cash flow from operations.
The reported net income has been mixed in the past 5 years: UAA reported negative net income in multiple years.
In multiple years UAA reported negative operating cash flow during the last 5 years.
1.2 Ratios
UAA has a Return On Assets of -4.68%. This is in the lower half of the industry: UAA underperforms 66.67% of its industry peers.
Looking at the Return On Equity, with a value of -10.65%, UAA is doing worse than 68.75% of the companies in the same industry.
UAA has a Return On Invested Capital (5.61%) which is comparable to the rest of the industry.
Measured over the past 3 years, the Average Return On Invested Capital for UAA is significantly below the industry average of 11.45%.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | -4.68% | ||
| ROE | -10.65% | ||
| ROIC | 5.61% |
ROA(3y)2.65%
ROA(5y)0.85%
ROE(3y)6.39%
ROE(5y)0.73%
ROIC(3y)6%
ROIC(5y)N/A
1.3 Margins
UAA's Operating Margin of 3.91% is on the low side compared to the rest of the industry. UAA is outperformed by 62.50% of its industry peers.
In the last couple of years the Operating Margin of UAA has declined.
UAA has a Gross Margin (47.92%) which is in line with its industry peers.
UAA's Gross Margin has been stable in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 3.91% | ||
| PM (TTM) | N/A | ||
| GM | 47.92% |
OM growth 3Y-25.19%
OM growth 5Y-2.73%
PM growth 3YN/A
PM growth 5YN/A
GM growth 3Y-1.63%
GM growth 5Y0.43%
2. Health
2.1 Basic Checks
UAA has a Return on Invested Capital (ROIC), which is below the Cost of Capital (WACC), which means it is destroying value.
Compared to 1 year ago, UAA has less shares outstanding
The number of shares outstanding for UAA has been reduced compared to 5 years ago.
UAA has a better debt/assets ratio than last year.
2.2 Solvency
UAA has an Altman-Z score of 2.70. This is not the best score and indicates that UAA is in the grey zone with still only limited risk for bankruptcy at the moment.
With a Altman-Z score value of 2.70, UAA perfoms like the industry average, outperforming 41.67% of the companies in the same industry.
UAA has a Debt/Equity ratio of 0.31. This is a healthy value indicating a solid balance between debt and equity.
The Debt to Equity ratio of UAA (0.31) is comparable to the rest of the industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.31 | ||
| Debt/FCF | N/A | ||
| Altman-Z | 2.7 |
ROIC/WACC0.71
WACC7.9%
2.3 Liquidity
A Current Ratio of 2.10 indicates that UAA has no problem at all paying its short term obligations.
UAA has a Current ratio (2.10) which is in line with its industry peers.
A Quick Ratio of 1.25 indicates that UAA should not have too much problems paying its short term obligations.
UAA has a Quick ratio (1.25) which is comparable to the rest of the industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 2.1 | ||
| Quick Ratio | 1.25 |
3. Growth
3.1 Past
UAA shows a strong negative growth in Earnings Per Share. In the last year the EPS decreased by -44.64%.
The Earnings Per Share has been growing by 13.86% on average over the past years. This is quite good.
UAA shows a decrease in Revenue. In the last year, the revenue decreased by -9.43%.
Measured over the past years, UAA shows a decrease in Revenue. The Revenue has been decreasing by -0.39% on average per year.
EPS 1Y (TTM)-44.64%
EPS 3Y13.86%
EPS 5YN/A
EPS Q2Q%-172.73%
Revenue 1Y (TTM)-9.43%
Revenue growth 3Y-3.14%
Revenue growth 5Y-0.39%
Sales Q2Q%-11.38%
3.2 Future
The Earnings Per Share is expected to grow by 29.78% on average over the next years. This is a very strong growth
Based on estimates for the next years, UAA will show a small growth in Revenue. The Revenue will grow by 4.10% on average per year.
EPS Next Y6.68%
EPS Next 2Y15.34%
EPS Next 3Y21.81%
EPS Next 5Y29.78%
Revenue Next Year-1.75%
Revenue Next 2Y0.46%
Revenue Next 3Y1.42%
Revenue Next 5Y4.1%
3.3 Evolution
The EPS growth rate is accelerating: in the next years the growth will be better than in the last years.
The Revenue growth rate is accelerating: in the next years the growth will be better than in the last years.
4. Valuation
4.1 Price/Earnings Ratio
With a Price/Earnings ratio of 23.29, UAA is valued on the expensive side.
UAA's Price/Earnings ratio is in line with the industry average.
Compared to an average S&P500 Price/Earnings ratio of 27.28, UAA is valued at the same level.
With a Price/Forward Earnings ratio of 21.83, UAA is valued on the expensive side.
Based on the Price/Forward Earnings ratio, UAA is valued a bit more expensive than the industry average as 64.58% of the companies are valued more cheaply.
When comparing the Price/Forward Earnings ratio of UAA to the average of the S&P500 Index (21.76), we can say UAA is valued inline with the index average.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 23.29 | ||
| Fwd PE | 21.83 |
4.2 Price Multiples
UAA's Enterprise Value to EBITDA ratio is in line with the industry average.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | N/A | ||
| EV/EBITDA | 9.38 |
4.3 Compensation for Growth
The high PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates an expensive valuation of the company.
UAA's earnings are expected to grow with 21.81% in the coming years. This may justify a more expensive valuation.
PEG (NY)3.49
PEG (5Y)N/A
EPS Next 2Y15.34%
EPS Next 3Y21.81%
5. Dividend
5.1 Amount
No dividends for UAA!.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
7.22
+0.13 (+1.83%)
Chartmill FA Rating
GICS SectorConsumer Discretionary
GICS IndustryGroupConsumer Durables & Apparel
GICS IndustryTextiles, Apparel & Luxury Goods
Earnings (Last)
Earnings (Next)
Inst Owners108.41%
Inst Owner Change5.83%
Ins Owners0.17%
Ins Owner Change0%
Market Cap3.08B
Analysts56.88
Price Target7.1 (-1.66%)
Short Float %14.88%
Short Ratio2.2
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
Yearly DividendN/A
Dividend Growth(5Y)N/A
DP0%
Div Incr Years0
Div Non Decr Years0
Ex-DateN/A
Surprises & Revisions
EPS beat(2)1
Avg EPS beat(2)59.09%
Min EPS beat(2)-0.39%
Max EPS beat(2)118.57%
EPS beat(4)3
Avg EPS beat(4)70.05%
Min EPS beat(4)-0.39%
Max EPS beat(4)118.57%
EPS beat(8)7
Avg EPS beat(8)74.55%
EPS beat(12)10
Avg EPS beat(12)59.07%
EPS beat(16)N/A
Avg EPS beat(16)N/A
Revenue beat(2)2
Avg Revenue beat(2)1.81%
Min Revenue beat(2)0.22%
Max Revenue beat(2)3.4%
Revenue beat(4)4
Avg Revenue beat(4)1.46%
Min Revenue beat(4)0%
Max Revenue beat(4)3.4%
Revenue beat(8)5
Avg Revenue beat(8)0.29%
Revenue beat(12)8
Avg Revenue beat(12)0.45%
Revenue beat(16)N/A
Avg Revenue beat(16)N/A
PT rev (1m)-11.24%
PT rev (3m)-27.54%
EPS NQ rev (1m)0%
EPS NQ rev (3m)5492.45%
EPS NY rev (1m)-4.71%
EPS NY rev (3m)-18.79%
Revenue NQ rev (1m)0%
Revenue NQ rev (3m)-1.29%
Revenue NY rev (1m)-0.7%
Revenue NY rev (3m)-1.62%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 23.29 | ||
| Fwd PE | 21.83 | ||
| P/S | 0.6 | ||
| P/FCF | N/A | ||
| P/OCF | N/A | ||
| P/B | 1.63 | ||
| P/tB | 2.2 | ||
| EV/EBITDA | 9.38 |
EPS(TTM)0.31
EY4.29%
EPS(NY)0.33
Fwd EY4.58%
FCF(TTM)-0.54
FCFYN/A
OCF(TTM)-0.14
OCFYN/A
SpS12.12
BVpS4.44
TBVpS3.28
PEG (NY)3.49
PEG (5Y)N/A
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | -4.68% | ||
| ROE | -10.65% | ||
| ROCE | 6.33% | ||
| ROIC | 5.61% | ||
| ROICexc | 6.65% | ||
| ROICexgc | 8.15% | ||
| OM | 3.91% | ||
| PM (TTM) | N/A | ||
| GM | 47.92% | ||
| FCFM | N/A |
ROA(3y)2.65%
ROA(5y)0.85%
ROE(3y)6.39%
ROE(5y)0.73%
ROIC(3y)6%
ROIC(5y)N/A
ROICexc(3y)7.52%
ROICexc(5y)N/A
ROICexgc(3y)9.16%
ROICexgc(5y)N/A
ROCE(3y)6.77%
ROCE(5y)N/A
ROICexcg growth 3Y-38.17%
ROICexcg growth 5Y-4.48%
ROICexc growth 3Y-35.79%
ROICexc growth 5Y-3.53%
OM growth 3Y-25.19%
OM growth 5Y-2.73%
PM growth 3YN/A
PM growth 5YN/A
GM growth 3Y-1.63%
GM growth 5Y0.43%
F-Score4
Asset Turnover1.2
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.31 | ||
| Debt/FCF | N/A | ||
| Debt/EBITDA | 1.76 | ||
| Cap/Depr | 124.21% | ||
| Cap/Sales | 3.27% | ||
| Interest Coverage | 19.17 | ||
| Cash Conversion | N/A | ||
| Profit Quality | N/A | ||
| Current Ratio | 2.1 | ||
| Quick Ratio | 1.25 | ||
| Altman-Z | 2.7 |
F-Score4
WACC7.9%
ROIC/WACC0.71
Cap/Depr(3y)115.44%
Cap/Depr(5y)90.34%
Cap/Sales(3y)2.86%
Cap/Sales(5y)2.37%
Profit Quality(3y)N/A
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)-44.64%
EPS 3Y13.86%
EPS 5YN/A
EPS Q2Q%-172.73%
EPS Next Y6.68%
EPS Next 2Y15.34%
EPS Next 3Y21.81%
EPS Next 5Y29.78%
Revenue 1Y (TTM)-9.43%
Revenue growth 3Y-3.14%
Revenue growth 5Y-0.39%
Sales Q2Q%-11.38%
Revenue Next Year-1.75%
Revenue Next 2Y0.46%
Revenue Next 3Y1.42%
Revenue Next 5Y4.1%
EBIT growth 1Y-12.02%
EBIT growth 3Y-27.54%
EBIT growth 5Y-3.11%
EBIT Next Year69.94%
EBIT Next 3Y30.53%
EBIT Next 5Y29.28%
FCF growth 1Y-211.96%
FCF growth 3YN/A
FCF growth 5YN/A
OCF growth 1Y-116.76%
OCF growth 3YN/A
OCF growth 5YN/A