UNDER ARMOUR INC-CLASS A (UAA) Stock Fundamental Analysis
NYSE:UAA - New York Stock Exchange, Inc. - US9043111072 - Common Stock - Currency: USD
Taking everything into account, UAA scores 3 out of 10 in our fundamental rating. UAA was compared to 50 industry peers in the Textiles, Apparel & Luxury Goods industry. While UAA seems to be doing ok healthwise, there are quite some concerns on its profitability. UAA has a valuation in line with the averages, but it does not seem to be growing.
1. Profitability
1.1 Basic Checks
In the past year UAA was profitable.
In the past year UAA had a positive cash flow from operations.
UAA had positive earnings in 4 of the past 5 years.
UAA had a positive operating cash flow in 4 of the past 5 years.
1.2 Ratios
Looking at the Return On Assets, with a value of -2.75%, UAA is doing worse than 64.00% of the companies in the same industry.
The Return On Equity of UAA (-6.41%) is worse than 66.00% of its industry peers.
The Return On Invested Capital of UAA (6.19%) 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 13.61%.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | -2.75% | ||
| ROE | -6.41% | ||
| ROIC | 6.19% |
ROA(3y)6.61%
ROA(5y)2.17%
ROE(3y)15.69%
ROE(5y)3.72%
ROIC(3y)8.56%
ROIC(5y)N/A
1.3 Margins
UAA has a worse Operating Margin (4.33%) than 60.00% of its industry peers.
UAA's Operating Margin has improved in the last couple of years.
The Gross Margin of UAA (47.47%) is comparable to the rest of the industry.
In the last couple of years the Gross Margin of UAA has remained more or less at the same level.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 4.33% | ||
| PM (TTM) | N/A | ||
| GM | 47.47% |
OM growth 3YN/A
OM growth 5Y5.76%
PM growth 3YN/A
PM growth 5YN/A
GM growth 3Y-1.5%
GM growth 5Y0.47%
2. Health
2.1 Basic Checks
The Return on Invested Capital (ROIC) is below the Cost of Capital (WACC), so UAA is destroying value.
The number of shares outstanding for UAA has been increased compared to 1 year ago.
UAA has less shares outstanding than it did 5 years ago.
The debt/assets ratio for UAA is higher compared to a year ago.
2.2 Solvency
UAA has an Altman-Z score of 2.48. 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.
The Altman-Z score of UAA (2.48) is comparable to the rest of the industry.
UAA has a Debt/Equity ratio of 0.30. This is a healthy value indicating a solid balance between debt and equity.
UAA has a Debt to Equity ratio of 0.30. This is comparable to the rest of the industry: UAA outperforms 56.00% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.3 | ||
| Debt/FCF | N/A | ||
| Altman-Z | 2.48 |
ROIC/WACC0.64
WACC9.69%
2.3 Liquidity
UAA has a Current Ratio of 2.01. This indicates that UAA is financially healthy and has no problem in meeting its short term obligations.
UAA has a Current ratio of 2.01. This is comparable to the rest of the industry: UAA outperforms 52.00% of its industry peers.
UAA has a Quick Ratio of 1.19. This is a normal value and indicates that UAA is financially healthy and should not expect problems in meeting its short term obligations.
UAA has a Quick ratio (1.19) which is comparable to the rest of the industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 2.01 | ||
| Quick Ratio | 1.19 |
3. Growth
3.1 Past
UAA shows a strong negative growth in Earnings Per Share. In the last year the EPS decreased by -20.63%.
UAA shows quite a strong growth in Earnings Per Share. Measured over the last years, the EPS has been growing by 9.86% yearly.
The Revenue has decreased by -7.84% in the past year.
UAA shows a small growth in Revenue. Measured over the last years, the Revenue has been growing by 1.89% yearly.
EPS 1Y (TTM)-20.63%
EPS 3Y-12.99%
EPS 5Y9.86%
EPS Q2Q%-57.89%
Revenue 1Y (TTM)-7.84%
Revenue growth 3Y8.41%
Revenue growth 5Y1.89%
Sales Q2Q%-5.72%
3.2 Future
The Earnings Per Share is expected to grow by 10.30% on average over the next years. This is quite good.
UAA is expected to show a small growth in Revenue. In the coming years, the Revenue will grow by 1.08% yearly.
EPS Next Y-44.98%
EPS Next 2Y-17.12%
EPS Next 3Y-3.77%
EPS Next 5Y10.3%
Revenue Next Year-9.83%
Revenue Next 2Y-5.14%
Revenue Next 3Y-2.02%
Revenue Next 5Y1.08%
3.3 Evolution
The EPS growth rate is stable: in the next years the growth will be about the same than in the last years.
When comparing the Revenue growth rate of the last years to the growth rate of the upcoming years, we see that the growth is decreasing.
4. Valuation
4.1 Price/Earnings Ratio
With a Price/Earnings ratio of 11.48, the valuation of UAA can be described as very reasonable.
Based on the Price/Earnings ratio, UAA is valued a bit cheaper than 66.00% of the companies in the same industry.
UAA is valuated cheaply when we compare the Price/Earnings ratio to 27.63, which is the current average of the S&P500 Index.
A Price/Forward Earnings ratio of 14.92 indicates a correct valuation of UAA.
The rest of the industry has a similar Price/Forward Earnings ratio as UAA.
UAA's Price/Forward Earnings ratio indicates a valuation a bit cheaper than the S&P500 average which is at 20.85.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 11.48 | ||
| Fwd PE | 14.92 |
4.2 Price Multiples
UAA's Enterprise Value to EBITDA ratio is a bit cheaper when compared to the industry. UAA is cheaper than 72.00% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | N/A | ||
| EV/EBITDA | 6.48 |
4.3 Compensation for Growth
UAA's earnings are expected to decrease with -3.77% in the coming years. This may justify a cheaper valuation.
PEG (NY)N/A
PEG (5Y)1.16
EPS Next 2Y-17.12%
EPS Next 3Y-3.77%
5. Dividend
5.1 Amount
No dividends for UAA!.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
5.74
-0.09 (-1.54%)
Chartmill FA Rating
GICS SectorConsumer Discretionary
GICS IndustryGroupConsumer Durables & Apparel
GICS IndustryTextiles, Apparel & Luxury Goods
Earnings (Last)
Earnings (Next)
Inst Owners104.84%
Inst Owner Change-0.02%
Ins Owners0.17%
Ins Owner Change0%
Market Cap2.48B
Analysts56.88
Price Target9.8 (70.73%)
Short Float %19.36%
Short Ratio3.22
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)2
Avg EPS beat(2)84.25%
Min EPS beat(2)49.94%
Max EPS beat(2)118.57%
EPS beat(4)4
Avg EPS beat(4)79.46%
Min EPS beat(4)37.25%
Max EPS beat(4)118.57%
EPS beat(8)8
Avg EPS beat(8)77.19%
EPS beat(12)10
Avg EPS beat(12)49.33%
EPS beat(16)N/A
Avg EPS beat(16)N/A
Revenue beat(2)2
Avg Revenue beat(2)1.7%
Min Revenue beat(2)0%
Max Revenue beat(2)3.4%
Revenue beat(4)3
Avg Revenue beat(4)1.2%
Min Revenue beat(4)-0.8%
Max Revenue beat(4)3.4%
Revenue beat(8)5
Avg Revenue beat(8)0.52%
Revenue beat(12)7
Avg Revenue beat(12)0.22%
Revenue beat(16)N/A
Avg Revenue beat(16)N/A
PT rev (1m)-1.42%
PT rev (3m)-10.47%
EPS NQ rev (1m)0.63%
EPS NQ rev (3m)-39.18%
EPS NY rev (1m)-0.5%
EPS NY rev (3m)5.81%
Revenue NQ rev (1m)0.17%
Revenue NQ rev (3m)-1.59%
Revenue NY rev (1m)0.02%
Revenue NY rev (3m)0.79%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 11.48 | ||
| Fwd PE | 14.92 | ||
| P/S | 0.47 | ||
| P/FCF | N/A | ||
| P/OCF | 665.04 | ||
| P/B | 1.25 | ||
| P/tB | 1.66 | ||
| EV/EBITDA | 6.48 |
EPS(TTM)0.5
EY8.71%
EPS(NY)0.38
Fwd EY6.7%
FCF(TTM)-0.36
FCFYN/A
OCF(TTM)0.01
OCFY0.15%
SpS12.29
BVpS4.59
TBVpS3.46
PEG (NY)N/A
PEG (5Y)1.16
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | -2.75% | ||
| ROE | -6.41% | ||
| ROCE | 7% | ||
| ROIC | 6.19% | ||
| ROICexc | 7.95% | ||
| ROICexgc | 9.83% | ||
| OM | 4.33% | ||
| PM (TTM) | N/A | ||
| GM | 47.47% | ||
| FCFM | N/A |
ROA(3y)6.61%
ROA(5y)2.17%
ROE(3y)15.69%
ROE(5y)3.72%
ROIC(3y)8.56%
ROIC(5y)N/A
ROICexc(3y)13.68%
ROICexc(5y)N/A
ROICexgc(3y)17.93%
ROICexgc(5y)N/A
ROCE(3y)9.66%
ROCE(5y)N/A
ROICexcg growth 3YN/A
ROICexcg growth 5Y2.85%
ROICexc growth 3YN/A
ROICexc growth 5Y4.72%
OM growth 3YN/A
OM growth 5Y5.76%
PM growth 3YN/A
PM growth 5YN/A
GM growth 3Y-1.5%
GM growth 5Y0.47%
F-Score5
Asset Turnover1.15
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.3 | ||
| Debt/FCF | N/A | ||
| Debt/EBITDA | 1.64 | ||
| Cap/Depr | 118.62% | ||
| Cap/Sales | 2.96% | ||
| Interest Coverage | 250 | ||
| Cash Conversion | 1.03% | ||
| Profit Quality | N/A | ||
| Current Ratio | 2.01 | ||
| Quick Ratio | 1.19 | ||
| Altman-Z | 2.48 |
F-Score5
WACC9.69%
ROIC/WACC0.64
Cap/Depr(3y)90.52%
Cap/Depr(5y)81.28%
Cap/Sales(3y)2.18%
Cap/Sales(5y)2.28%
Profit Quality(3y)N/A
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)-20.63%
EPS 3Y-12.99%
EPS 5Y9.86%
EPS Q2Q%-57.89%
EPS Next Y-44.98%
EPS Next 2Y-17.12%
EPS Next 3Y-3.77%
EPS Next 5Y10.3%
Revenue 1Y (TTM)-7.84%
Revenue growth 3Y8.41%
Revenue growth 5Y1.89%
Sales Q2Q%-5.72%
Revenue Next Year-9.83%
Revenue Next 2Y-5.14%
Revenue Next 3Y-2.02%
Revenue Next 5Y1.08%
EBIT growth 1Y-12.45%
EBIT growth 3YN/A
EBIT growth 5Y7.76%
EBIT Next Year5.61%
EBIT Next 3Y11.94%
EBIT Next 5Y12.68%
FCF growth 1Y85.08%
FCF growth 3Y19.09%
FCF growth 5Y-14.79%
OCF growth 1Y100.41%
OCF growth 3Y18.47%
OCF growth 5Y-10.84%