Amer Sports, Inc. (AS): A Bull Case Theory 

We came across a bullish thesis on Amer Sports, Inc. on M Squared Capital’s Substack by Matthew McClintock. In this article, we will summarize the bulls’ thesis on AS. Amer Sports, Inc. ‘s share was trading at $37.09 as of September 16th. AS’s trailing and forward P/E were 90.83 and 32.57 respectively according to Yahoo Finance.

Amer Sports, the parent company of Arc’teryx, Salomon, and Wilson, is entering a pivotal phase ahead of its upcoming investor day, which is widely expected to be a positive catalyst. The company’s strongest asset remains Arc’teryx, where expansion has been executed at a measured pace, supported by strong store productivity that validates consumer demand for new locations. The brand’s trajectory has drawn comparisons to early-stage Lululemon, which once faced skepticism over men’s apparel and category expansion but ultimately proved successful.

Early brand extension data for Arc’teryx suggest similar consumer permission, pointing to a long runway for growth. However, concerns remain around Salomon, which has added 130 stores over the past two years, a pace of growth that is unusual and can create operational strain. Wilson is also expanding, though from a smaller base, making the growth less concerning; the bigger issue is the crowded tennis apparel and footwear market that may cap long-term potential. Adding to investor unease is founder Chip Wilson’s recent $160 million stock sale, which raises questions about timing.

On financials, Amer’s FY25 EPS is projected between $0.77 and $0.90, but the downside case is more about its implications for 2026, with particular uncertainty tied to 4Q25 guidance. Management expects EBIT margin expansion in that period, though execution risks remain significant. Overall, Amer Sports offers compelling growth potential through Arc’teryx and its expanding portfolio, but aggressive expansion at Salomon and competitive risks at Wilson highlight the importance of disciplined execution to sustain momentum.

Previously we covered a bullish thesis on Amer Sports, Inc. (AS) by Stock Analysis Compilation in December 2024, which highlighted China-led growth, strong brand momentum, and undervaluation. The stock has appreciated approximately 44.9% since our coverage as earnings risks did not play out and guidance improved. The thesis still stands, while Matthew McClintock shares a similar view but emphasizes risks at Salomon and Wilson.

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Disclosure: None.