A shell-shocked economy, spiraling debt at financial institutions, or just plain bad management -- on any given day, investors can name a number of reasons to sell a stock. Yet while panic never helps investors, it's still a good idea to play devil's advocate with investments from time to time.
Consider athleticwear and footwear designer Under Armour
1. Uncertain macro environment
The current environment is still tough on clothing brands such as Volcom
2. Weak sales
The economy isn't playing favorites. Consumers' spending cutbacks are wreaking havoc on premium retailers such as Abercrombie & Fitch
3. Growing costs
Under Amour's profit margins have lagged those of rivals Deckers Outdoor
Of course, Under Armour has weathered storms in the past. Can it successfully navigate the current turmoil? The uncertainty surrounding the company makes CAPS a great resource to augment your own analysis.
To see what the very best CAPS members are saying now about Under Armour, just click on over to Motley Fool CAPS and have a look -- it's all free, and even open to your opinion.
More Foolishness:
- Profiting from the new trend of throwing shoes
- Will Under Armour play follow the leader?
- It might be time to toss this retail stock.