Analysts expect Under Armour to report quarterly revenue of $1.11 billion and adjusted EPS of $0.02, with the stock trading at $6.70 against an average analyst price target of $6.90. The primary focus for investors this quarter is the stabilization of North American revenue as the company navigates a multi-year brand turnaround.
Under the leadership of returning CEO Kevin Plank, Under Armour is executing a major restructuring plan that includes a 25% reduction in product styles to prioritize premium positioning and reduce reliance on heavy discounting. While these efforts are expected to cause a modest top-line contraction, management is targeting significant gross margin expansion and improved operating leverage to restore long-term profitability.