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

By Seth Jayson – Updated Apr 10, 2017 at 1:52PM

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Checking expectations

Under Armour (NYSE: UA) is expected to report Q1 earnings on April 19. 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 grow 21.9% and EPS will decrease -78.6%.

The average estimate for revenue is $468.4 million. On the bottom line, the average EPS estimate is $0.03.

Revenue details
Last quarter, Under Armour reported revenue of $505.9 million. GAAP reported sales were 25% higher than the prior-year quarter's $403.1 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 $0.47. GAAP EPS of $0.47 for Q4 were 57% higher than the prior-year quarter's $0.30 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 50.3%, 130 basis points worse than the prior-year quarter. Operating margin was 16.1%, 240 basis points better than the prior-year quarter. Net margin was 9.9%, 180 basis points better than the prior-year quarter.

Looking ahead

The full year's average estimate for revenue is $2.23 billion. The average EPS estimate is $1.46.

Investor sentiment
The stock has a four-star rating (out of five) at Motley Fool CAPS, with 2,779 members out of 3,028 rating the stock outperform, and 249 members rating it underperform. Among 983 CAPS All-Star picks (recommendations by the highest-ranked CAPS members), 946 give Under Armour a green thumbs-up, and 37 give it a red thumbs-down.

Of Wall Street recommendations tracked by S&P Capital IQ, the average opinion on Under Armour is outperform, with an average price target of $56.20.

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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. 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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Stocks Mentioned

Under Armour (A Shares) Stock Quote
Under Armour (A Shares)
UAA
$9.39 (-2.90%) $0.28

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