Under Armour initiated with a Neutral at Goldman Sachs

Goldman Sachs analyst Brooke Roach initiated coverage of Under Armour (UA) (UAA) with a Neutral rating and $7 price target. Strong execution could sustain momentum for sportswear and footwear brands that have driven significant market share gains over the past few years, but the firm believes accelerating competition and shifting consumer preferences make for “a more muted near-term backdrop for the industry overall,” the analyst tells investors. The firm is “constructive” on Under Armour’s strategic reset and renewed focus on brand, product, and channel discipline, but sees limited visibility into the timing of sustained recovery in North America.