Under Armour (UA) Beat and Raised But it Wasn't Enough to Extend Recent Gains

Sterne Agee CRT analyst Sam Posner published a quick view of the Under Armour's (NYSE: UA) quarterly release. The highlights seem to be International profit which nearly doubled off of a very small base and Connected Fitness where sales tripled, again off of a very small base. Expectations were high though and the stock traded off by 4%. Key points follow:

UA beat 3Q15 estimates & raised 2015 guidance, implying 4Q15 revenue growth of 25%.

EPS of $0.45 vs consensus estimates of $0.44

Apparel sales increased 22.8% to $865.5M, slightly above consensus estimates. Growth was driven by core businesses such as baselayer and the Storm platform.

Footwear sales increased 61.4% to $196.3M, above estimates. Growth was broad based, from running, basketball, and training categories.

Connected fitness which includes Map My Fitness, MyFitnessPal, and Endomondo drove sales of $14.4M versus $4.5M LY

Licensed revenues increased 9% to $24M

International sales increased 52% to $130M. International sales had operating income of $6.2M versus $3.8M in 3Q14.

DTC sales increased 28% equaled 26% of total net revenues.

CRT's rating and price target are currently BUY and $120.

For an analyst ratings summary and ratings history on Under Armour, Inc. click here. For more ratings news on Under Armour, Inc. click here.

Shares of Under Armour, Inc. closed at $99.15 yesterday.

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