Topic: How To Invest

Q: Pat: What do you think of buying shares of Under Armour now that it’s down? Thanks.

Article Excerpt

A: Under Armour Inc., $18.00, symbol UA on New York (Shares outstanding: 449.9 million; Market cap: $8.3 billion; www.underarmour.com), designs and markets athletic clothing, shoes and accessories for men, women and children. It outsources its manufacturing to suppliers in China, Vietnam, Indonesia and other countries. The company has three classes of shares. Its Class A shares trade under symbol UAA and come with one vote per share; The Class B shares are privately traded and have 10 votes per share, with a majority held by CEO and founder Kevin Plank; and the Class C shares are non-voting and trade under symbol UA. Under Armour mainly sells its gear through general retailers, sporting goods stores, company-owned outlets and online. Clothing supplies 67% of its revenue, followed by footwear (21%) and accessories (8%). The remaining 4% is divided equally between Connected Fitness, its digital health and fitness community, and by licensing its brands to other companies. Most of Under Armour’s products use fabrics that wick…