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Robert Drbul Reiterates Hold as Margin Pressure, Uneven Demand and Rich Valuation Limit Upside Despite Slight Revenue Beat

Robert Drbul Reiterates Hold as Margin Pressure, Uneven Demand and Rich Valuation Limit Upside Despite Slight Revenue Beat

BTIG analyst Robert Drbul has maintained their neutral stance on UAA stock, giving a Hold rating today.

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Robert Drbul has given his Hold rating due to a combination of factors, including quarterly results that largely matched expectations but reflected margin pressure and uneven demand. While revenue modestly exceeded his forecast, profitability was constrained by higher tariffs, supply chain costs, and elevated promotions, only partly offset by cost controls and better inventory discipline.

He also notes that regional and channel performance remains mixed, with North America still under pressure and growth concentrated in international markets and select direct-to-consumer channels. Looking ahead, his estimates call for a revenue decline in FY27 and only modest profit improvement, yet the shares already trade at a high multiple of projected earnings, leaving limited valuation upside and supporting a Neutral stance.

In another report released today, Barclays also assigned a Hold rating to the stock with a $5.00 price target.

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