Under Armour (NYSE: UAA) is one of 26 public companies in the “Apparel & Accessories” industry, but how does it weigh in compared to its competitors? We will compare Under Armour to related businesses based on the strength of its risk, institutional ownership, profitability, earnings, valuation, analyst recommendations and dividends.

Volatility & Risk

Under Armour has a beta of -0.02, indicating that its stock price is 102% less volatile than the S&P 500. Comparatively, Under Armour’s competitors have a beta of 0.73, indicating that their average stock price is 27% less volatile than the S&P 500.

Institutional and Insider Ownership

30.5% of Under Armour shares are held by institutional investors. Comparatively, 48.8% of shares of all “Apparel & Accessories” companies are held by institutional investors. 16.4% of Under Armour shares are held by company insiders. Comparatively, 28.7% of shares of all “Apparel & Accessories” companies are held by company insiders. Strong institutional ownership is an indication that endowments, hedge funds and large money managers believe a stock is poised for long-term growth.

Analyst Recommendations

This is a breakdown of recent ratings and target prices for Under Armour and its competitors, as provided by MarketBeat.com.

Sell Ratings Hold Ratings Buy Ratings Strong Buy Ratings Rating Score
Under Armour 12 20 5 0 1.81
Under Armour Competitors 240 1233 1881 72 2.52

Under Armour currently has a consensus target price of $19.71, indicating a potential upside of 17.07%. As a group, “Apparel & Accessories” companies have a potential upside of 5.04%. Given Under Armour’s higher possible upside, analysts clearly believe Under Armour is more favorable than its competitors.

Profitability

This table compares Under Armour and its competitors’ net margins, return on equity and return on assets.

Net Margins Return on Equity Return on Assets
Under Armour 4.38% 10.93% 5.91%
Under Armour Competitors -1,512.44% -11.23% -7.75%

Valuation and Earnings

This table compares Under Armour and its competitors revenue, earnings per share (EPS) and valuation.

Gross Revenue EBITDA Price/Earnings Ratio
Under Armour $4.98 billion $526.36 million 35.08
Under Armour Competitors $2.68 billion $378.34 million -3.63

Under Armour has higher revenue and earnings than its competitors. Under Armour is trading at a higher price-to-earnings ratio than its competitors, indicating that it is currently more expensive than other companies in its industry.

Summary

Under Armour beats its competitors on 7 of the 13 factors compared.

Under Armour Company Profile

Under Armour, Inc. is engaged in the development, marketing and distribution of branded performance apparel, footwear and accessories for men, women and youth. The Company’s segments include North America, consisting of the United States and Canada; Europe, the Middle East and Africa (EMEA); Asia-Pacific; Latin America, and Connected Fitness. Its products are sold across the world and worn by athletes at all levels, from youth to professional, on playing fields around the globe, as well as by consumers with active lifestyles. The Company sells its branded apparel, footwear and accessories in North America through its wholesale and direct to consumer channels. As of December 31, 2016, the Company had approximately 151 factory house stores in North America primarily located in outlet centers throughout the United States. In addition, the Company distributes its products in North America through third-party logistics providers with primary locations in Canada, New Jersey and Florida.

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