Traders Purchase Large Volume of Call Options on Under Armour (NYSE:UA)

Under Armour, Inc. (NYSE:UA) saw some unusual options trading on Tuesday. Stock investors purchased 5,337 call options on the stock. This represents an increase of approximately 282% compared to the typical daily volume of 1,397 call options.

Under Armour News Roundup

Here are the key news stories impacting Under Armour this week:

• Positive Sentiment: Major shareholder Prem Watsa (V Prem et al. Watsa) has been aggressively accumulating UA stock across multiple filings (Dec. 22–29), adding tens of millions of dollars of shares and materially increasing his stake — a strong signal of insider confidence. SEC Filing
• Positive Sentiment: Fairfax Financial purchased about $70.9 million of Under Armour shares, adding a well‑known insurance/asset manager to the shareholder base — another institutional validation that supports the stock’s rally. Fairfax Buys UA
• Positive Sentiment: Unusual call‑option flow: traders bought ~5,337 UA calls (≈ +282% vs. normal daily call volume), indicating speculative/short‑term bullish positioning that can amplify upward price moves. (No external link available in the alert.)
• Positive Sentiment: Under Armour appointed a Head of Digital Experience — a tactical hire aimed at improving e‑commerce/user experience and direct‑to‑consumer execution, which could help revenue and margin recovery over time. Digital Experience Hire
• Neutral Sentiment: Context: UA trades near its mid‑range with a market cap around $2B, 50‑day SMA below the current price and 200‑day SMA above — technicals plus the recent buying are supportive, but fundamentals include a negative P/E and modest margins. Market Data
• Negative Sentiment: Sell ratings and weak profitability persist: some analysts maintain sell views (e.g., Weiss Ratings reaffirmed a “sell (d‑)”), underscoring ongoing skepticism about UA’s ability to return to durable profitability. Weiss Ratings

Under Armour Trading Up 8.7%

NYSE UA traded up $0.40 during mid-day trading on Tuesday, reaching $4.94. 12,737,846 shares of the stock were exchanged, compared to its average volume of 4,409,395. The stock has a market cap of $2.12 billion, a P/E ratio of -23.50 and a beta of 1.74. The company has a debt-to-equity ratio of 0.32, a current ratio of 1.69 and a quick ratio of 1.10. Under Armour has a one year low of $3.95 and a one year high of $7.85. The stock has a 50 day simple moving average of $4.35 and a 200-day simple moving average of $5.13.

Under Armour (NYSE:UA) last released its earnings results on Thursday, November 6th. The company reported $0.04 earnings per share (EPS) for the quarter, beating analysts’ consensus estimates of $0.02 by $0.02. The company had revenue of $1.33 billion for the quarter, compared to the consensus estimate of $1.31 billion. Under Armour had a negative net margin of 1.74% and a positive return on equity of 1.27%. Under Armour has set its FY 2026 guidance at 0.030-0.050 EPS.

Wall Street Analyst Weigh In

Separately, Weiss Ratings reissued a “sell (e+)” rating on shares of Under Armour in a research note on Monday. One investment analyst has rated the stock with a Sell rating, According to data from MarketBeat.com, Under Armour currently has a consensus rating of “Sell”.

Insider Activity at Under Armour

In other Under Armour news, major shareholder V Prem Et Al Watsa bought 7,739,154 shares of the stock in a transaction on Monday, December 22nd. The stock was purchased at an average price of $4.48 per share, with a total value of $34,671,409.92. Following the completion of the purchase, the insider owned 24,691,049 shares in the company, valued at $110,615,899.52. The trade was a 45.65% increase in their ownership of the stock. The purchase was disclosed in a filing with the SEC, which is available through the SEC website. Over the last ninety days, insiders acquired 15,681,964 shares of company stock worth $71,017,722. 15.60% of the stock is currently owned by insiders.

Institutional Trading of Under Armour

Institutional investors and hedge funds have recently modified their holdings of the stock. Norges Bank purchased a new position in Under Armour during the 2nd quarter worth $18,920,000. BDT Capital Partners LLC increased its position in shares of Under Armour by 4.9% during the second quarter. BDT Capital Partners LLC now owns 62,463,879 shares of the company’s stock valued at $405,391,000 after acquiring an additional 2,898,561 shares during the last quarter. Millennium Management LLC raised its position in Under Armour by 153.7% in the third quarter. Millennium Management LLC now owns 2,346,929 shares of the company’s stock worth $11,336,000 after acquiring an additional 1,421,981 shares during the period. Corient Private Wealth LLC boosted its stake in Under Armour by 99.8% in the second quarter. Corient Private Wealth LLC now owns 2,005,844 shares of the company’s stock valued at $13,018,000 after acquiring an additional 1,002,037 shares during the last quarter. Finally, Trexquant Investment LP bought a new position in shares of Under Armour during the 1st quarter valued at approximately $5,122,000. 36.35% of the stock is owned by hedge funds and other institutional investors.

About Under Armour

Under Armour, Inc is a global designer, marketer and distributor of branded performance apparel, footwear and accessories. The company’s product portfolio spans a wide range of athletic categories, including running, training, basketball, outdoor and golf, with specialized lines for men, women and youth. Under Armour emphasizes innovative fabrics and technologies designed to enhance athletic performance, such as moisture-wicking HeatGear®, cold-weather ColdGear® and UV-protective UA Tech™ materials.

The company was founded in 1996 by former University of Maryland football captain Kevin Plank, who sought to create a superior moisture-wicking T-shirt to keep athletes cool and dry.