Under Armour: Strategic Reset and Brand Rebuild Support Undervalued Long-Term Buy Thesis

Williams Trading analyst Sam Poser has maintained their bullish stance on UAA stock, giving a Buy rating on January 28.

Sam Poser has given his Buy rating due to a combination of factors that, in his view, materially improve Under Armour’s long‑term outlook despite near‑term noise. He notes that recent strategic decisions—such as ending the Stephen Curry partnership and reshaping the senior leadership team—are designed to raise the brand’s status and enhance product quality across categories, even if the benefits are not yet fully reflected in current numbers. Poser believes that the company’s updated guidance for the upcoming quarters is achievable and that his revised price target, alongside extended estimates through FY28, reflects a realistic path for earnings growth.

At the same time, he highlights that many large wholesale partners are supportive of the brand but are proceeding conservatively in committing incremental inventory, which keeps expectations grounded and reduces the risk of an overly aggressive expansion that has hurt the company in prior cycles. Poser underscores that CEO Kevin Plank’s more measured and disciplined approach today, compared with seven years ago, should help avoid past execution mistakes and allow improvements to build steadily. He also emphasizes that product and distribution strategies are clearly improving, and that the next critical step is to rekindle a strong emotional bond with consumers through compelling brand storytelling, similar to the success of earlier campaigns that rapidly drove share gains despite merely adequate product. Taken together, these operational, strategic, and brand‑building dynamics underpin his view that the stock is undervalued relative to its long‑term potential, warranting a Buy rating.

In another report released on January 28, Stifel Nicolaus also reiterated a Buy rating on the stock with a $9.00 price target.