UNDER ARMOUR INC-CLASS A (UAA) Stock Fundamental Analysis
NYSE:UAA - New York Stock Exchange, Inc. - US9043111072 - Common Stock - Currency: USD
UAA gets a fundamental rating of 3 out of 10. The analysis compared the fundamentals against 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 is valied quite expensively at the moment, while it does show a decent growth rate.
1. Profitability
1.1 Basic Checks
In the past year UAA was profitable.
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.
The reported operating cash flow has been mixed in the past 5 years: UAA reported negative operating cash flow in multiple years.
1.2 Ratios
With a Return On Assets value of -4.68%, UAA is not doing good in the industry: 64.00% of the companies in the same industry are doing better.
Looking at the Return On Equity, with a value of -10.65%, UAA is doing worse than 64.00% of the companies in the same industry.
With a Return On Invested Capital value of 5.61%, UAA perfoms like the industry average, outperforming 44.00% of the companies in the same industry.
UAA had an Average Return On Invested Capital over the past 3 years of 6.00%. This 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
Looking at the Operating Margin, with a value of 3.91%, UAA is in line with its industry, outperforming 42.00% of the companies in the same industry.
UAA's Operating Margin has declined in the last couple of years.
The Gross Margin of UAA (47.92%) is comparable to the rest of the industry.
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
Compared to 5 years ago, UAA has less shares outstanding
The debt/assets ratio for UAA has been reduced compared to a year ago.
2.2 Solvency
UAA has an Altman-Z score of 2.67. 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.
UAA has a Altman-Z score (2.67) which is in line with its industry peers.
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 | 2.67 |
ROIC/WACC0.67
WACC8.43%
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 comparable to the rest of the industry.
A Quick Ratio of 1.25 indicates that UAA should not have too much problems paying its short term obligations.
UAA's Quick ratio of 1.25 is in line compared to the rest of the industry. UAA outperforms 50.00% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 2.1 | ||
| Quick Ratio | 1.25 |
3. Growth
3.1 Past
The earnings per share for UAA have decreased strongly by -44.64% in the last year.
Measured over the past years, UAA shows a quite strong growth in Earnings Per Share. The EPS has been growing by 13.86% on average per year.
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
Based on estimates for the next years, UAA will show a very strong growth in Earnings Per Share. The EPS will grow by 29.78% on average per year.
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 Y4.68%
EPS Next 2Y15.48%
EPS Next 3Y17.96%
EPS Next 5Y29.78%
Revenue Next Year-1.6%
Revenue Next 2Y0.63%
Revenue Next 3Y1.69%
Revenue Next 5Y4.1%
3.3 Evolution
When comparing the EPS growth rate of the last years to the growth rate of the upcoming years, we see that the growth is accelerating.
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 22.10, 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 27.30, UAA is valued at the same level.
With a Price/Forward Earnings ratio of 21.11, UAA is valued on the expensive side.
60.00% of the companies in the same industry are cheaper than UAA, based on the Price/Forward Earnings ratio.
UAA's Price/Forward Earnings ratio indicates a similar valuation than the S&P500 average which is at 21.76.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 22.1 | ||
| Fwd PE | 21.11 |
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 | 8.91 |
4.3 Compensation for Growth
The high PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates UAA does not grow enough to justify the current Price/Earnings ratio.
A more expensive valuation may be justified as UAA's earnings are expected to grow with 17.96% in the coming years.
PEG (NY)4.72
PEG (5Y)N/A
EPS Next 2Y15.48%
EPS Next 3Y17.96%
5. Dividend
5.1 Amount
UAA does not give a dividend.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
6.85
-0.23 (-3.25%)
Chartmill FA Rating
GICS SectorConsumer Discretionary
GICS IndustryGroupConsumer Durables & Apparel
GICS IndustryTextiles, Apparel & Luxury Goods
Earnings (Last)
Earnings (Next)
Inst Owners108.41%
Inst Owner Change0%
Ins Owners0.17%
Ins Owner Change0%
Market Cap2.92B
Analysts56.97
Price Target7.1 (3.65%)
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)0%
PT rev (3m)-27.54%
EPS NQ rev (1m)-1.5%
EPS NQ rev (3m)1814.97%
EPS NY rev (1m)-6.49%
EPS NY rev (3m)-20.31%
Revenue NQ rev (1m)-0.09%
Revenue NQ rev (3m)-1.55%
Revenue NY rev (1m)0.16%
Revenue NY rev (3m)-1.35%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 22.1 | ||
| Fwd PE | 21.11 | ||
| P/S | 0.57 | ||
| P/FCF | N/A | ||
| P/OCF | N/A | ||
| P/B | 1.54 | ||
| P/tB | 2.09 | ||
| EV/EBITDA | 8.91 |
EPS(TTM)0.31
EY4.53%
EPS(NY)0.32
Fwd EY4.74%
FCF(TTM)-0.54
FCFYN/A
OCF(TTM)-0.14
OCFYN/A
SpS12.12
BVpS4.44
TBVpS3.28
PEG (NY)4.72
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 | 2.67 |
F-Score4
WACC8.43%
ROIC/WACC0.67
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 Y4.68%
EPS Next 2Y15.48%
EPS Next 3Y17.96%
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-1.6%
Revenue Next 2Y0.63%
Revenue Next 3Y1.69%
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