Why Under Armour Stock Jumped Today
Under Armour's (NYSE: UA) (NYSE: UAA) shares were up 11.7% as of 12:27 p.m. ET on Thursday after the apparel company reported earnings results for its fiscal second quarter before the trading session opened. For the period, which ended Sept. 30, it beat revenue and earnings estimates, and the guidance it issued for the current quarter was also head of expectations.
The better-than-expected financial performance gave traders justification to bid up the stock, which is still down by around 68% over the last year. However, not everything in the report was a green light for investors. Management's forecast actually reflected a cut to its previous guidance.
Under Armour reported revenue growth of 5% year over year on a constant-currency basis. A decline in sales of apparel and accessories was offset by a 14% increase in footwear revenues. This was notably better than Nike's 12% year-over-year increase in footwear sales in its August-ending quarter.
Source Fool.com
