Under Armour's Upcoming Earnings: What You Need To Know

Under Armour (NYSE: UA  ) is expected to report Q4 earnings on Jan. 31. Here's what Wall Street wants to see:

The 10-second takeaway
Comparing the upcoming quarter to the prior-year quarter, average analyst estimates predict Under Armour's revenues will increase 23.5% and EPS will grow 48.4%.

The average estimate for revenue is $498.0 million. On the bottom line, the average EPS estimate is $0.46.

Revenue details
Last quarter, Under Armour booked revenue of $575.2 million. GAAP reported sales were 24% higher than the prior-year quarter's $465.5 million.

Source: S&P Capital IQ. Quarterly periods. Dollar amounts in millions. Non-GAAP figures may vary to maintain comparability with estimates.

EPS details
Last quarter, EPS came in at $0.54. GAAP EPS of $0.54 for Q3 were 23% higher than the prior-year quarter's $0.44 per share.

Source: S&P Capital IQ. Quarterly periods. Non-GAAP figures may vary to maintain comparability with estimates.

Recent performance
For the preceding quarter, gross margin was 48.7%, 30 basis points better than the prior-year quarter. Operating margin was 15.8%, 30 basis points worse than the prior-year quarter. Net margin was 10.0%, 10 basis points better than the prior-year quarter.

Looking ahead

The full year's average estimate for revenue is $1.83 billion. The average EPS estimate is $1.20.

Investor sentiment
The stock has a three-star rating (out of five) at Motley Fool CAPS, with 2,734 members out of 2,987 rating the stock outperform, and 253 members rating it underperform. Among 987 CAPS All-Star picks (recommendations by the highest-ranked CAPS members), 941 give Under Armour a green thumbs-up, and 46 give it a red thumbs-down.

Of Wall Street recommendations tracked by S&P Capital IQ, the average opinion on Under Armour is hold, with an average price target of $55.59.

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Seth Jayson owned shares of the following at the time of publication: Under Armour. You can view his stock holdings here. He is co-advisor of Motley Fool Hidden Gems, which provides new small-cap ideas every month, backed by a real-money portfolio. The Motley Fool recommends Under Armour. The Motley Fool owns shares of Under Armour. Try any of our Foolish newsletter services free for 30 days. We Fools may not all hold the same opinions, but we all believe that considering a diverse range of insights makes us better investors. The Motley Fool has a disclosure policy.


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