We recently published Jim Cramer Discussed These 25 Stocks In An Important Show About AI Spending. Under Armour, Inc. is one of the stocks Jim Cramer recently discussed.
Under Armour, Inc. is another apparel company in the middle of a turnaround. The firm reported its fiscal second-quarter earnings last week. During the quarter, Under Armour, Inc. brought in $1.33 billion in revenue and $0.04 in profit per share, both of which modestly beat analyst estimates. However, the firm’s midpoint full-year revenue drop guidance of 4.5% was steeper than analyst estimates of 4%. Additionally, not only was Under Armour, Inc.’s midpoint third quarter revenue drop guidance of 6.5% well ahead of analyst estimates of 4.1%, but its profit per share guidance of $0.04 also missed $0.06 in estimates. In his previous comments, Cramer has asserted that Under Armour, Inc.’s stock has struggled because money managers believe in 90-day cycles. In this appearance, he kept the faith:
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“But it turns out, that some of these turns are so hard. The Starbucks turn is incredibly hard. . . But they can happen, and when they happen, which is going to happen I believe with Under Armour, three quarters from now, you’re going to wish you were in, but holy cow, it’s just not now, not now.
“Remember the Brian Moynihan, CEO of Bank of America, was saying, the rich people are spending more than ever. But it’s not filtering to Under Armour.”
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This article is originally published at Insider Monkey.
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