Olga Ivanova
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Olga Ivanova in Apex Traiders,

Under Armour: Entering the new market

Under Armour (NYSE: UA), the originator of performance footwear, apparel and equipment, revolutionized how athletes across the world dress. Designed to make all athletes better, the brand's innovative products are sold worldwide to athletes at all levels. What is no less important, the company is going to implant special devices for measuring temperature and blood pressure in clothes. This technological decision can help the company to compete at the market of health devices.

Nevertheless, the situation with the price per share shows a downward trendin the last month. According to our predictions, it will continue to fall, that’s why we advise to buy company’s shares in 6-7 days. The evaluations were made with the use ofquadratic regression model based on historic close prices. The coefficient of determination equals 0,73, which means that this model can be used in analysis.

Source: Google Finance, team’s evaluations.

Touching upon financials of the company, it is necessary to mention that net revenues increased 28% in the third quarter of 2015 to $1.20 billion compared with net revenues of $938 million in the prior year's period. On a currency neutral basis, net revenues increased 31% compared with the prior year's period. Net income increased 13% in the third quarter of 2015 to $100 million compared with $89 million in the prior year's period and diluted earnings per share for the third quarter of 2015 were $0.45 compared with $0.41 per share in the prior year's period, inclusive of the impacts of the Endomondo and MyFitnessPal acquisitions.

Third quarter apparel net revenues increased 23% to $866 million compared with $705 million in the same period of the prior year, driven primarily by enhanced product offerings in base layer and the expanded Storm innovation platform. Third quarter footwear net revenues increased 61% to $196 million from $122 million in the prior year's period, primarily reflecting continued product expansion across the running, basketball, and training categories. Third quarter accessories net revenues increased 22% to $104 million from $85 million in the prior year's period, driven primarily by new introductions across the bags category. Direct-to-Consumer net revenues, which represented 26% of total net revenues for the third quarter, grew 28% year-over-year. International net revenues, which represented 11% of total net revenues for the third quarter, grew 52% year-over-year.