Under Armour, Inc. (NYSE: UA) is a global athletic apparel and footwear company engaged in the design, marketing, and distribution of performance-oriented products across men’s, women’s, and youth categories. The company operates through wholesale, direct-to-consumer, and e-commerce channels, with a brand presence across major international markets.

Change in View: Buy to Sell 

As per the US Dailies Report published on UA on January 03, 2025, Kalkine had earlier maintained a “Buy” recommendation on the stock at a price of USD 7.54, primarily based on technical indicators prevailing at that time.

Since then, the stock has declined modestly by approximately 2.65%, closing at USD 7.34 as of February 06, 2026. More importantly, however, the fundamental and operational outlook has deteriorated, prompting a reassessment of the risk–reward profile and a revision in stance from Buy to Sell.

Noted below are the details of support and resistance levels provided in our previous report:

Rationale for the Sell Recommendation

Under Armour’s financial performance remains under pressure despite selective traction in its core apparel categories. Elevated restructuring and turnaround-related expenses continue to weigh on profitability, while operating losses and a substantial net loss overshadow management’s adjusted income outlook.

Margin visibility remains constrained by incremental tariff-related costs, which are expected to compress profitability further in the near term. Additionally, the footwear segment continues to act as a structural drag on overall performance, characterized by declining sales, excess product complexity, and inventory risks. These challenges have forced management into a strategic reset that is likely to take time to yield tangible benefits.

While recent product launches in core apparel categories have generated some momentum, execution risks remain high. The combination of margin headwinds, prolonged restructuring, and uncertainty around footwear recovery limits upside visibility and weakens confidence in a sustained earnings turnaround.

Technical Perspective

From a technical standpoint, the stock has failed to generate meaningful upside traction despite intermittent rallies. The price action suggests limited follow-through buying interest, reinforcing the view that recent strength has been more corrective than trend-defining. Earlier technical signals that supported a Buy stance have weakened, aligning with the deteriorating fundamental backdrop.

Given the lack of strong technical confirmation and subdued volume support, the stock appears vulnerable to further downside should broader market sentiment weaken or company-specific execution challenges persist.

Conclusion

Considering the contrast between recent share strength driven by selective apparel momentum and the company’s ongoing margin pressure, restructuring drag, and footwear-related headwind, a "Sell" recommendation on Under Armour, Inc. (NYSE: UA) has been given at the closing market price of USD 7.34 as on 06 Feb 2026.

Note 1: Past performance is not a reliable indicator of future performance.

Note 2: The reference date for all price data, currency, technical indicators, support, and resistance level is 06 February 2026. The reference data in this report has been partly sourced from REFINITIV.

Note 3: Investment decisions should be made depending on an individual's appetite for upside potential, risks, holding duration, and any previous holdings. An 'Exit' from the stock can be considered if the Target Price mentioned as per the Valuation and or the technical levels provided has been achieved and is subject to the factors discussed above.

Note 4: Target Price refers to a price level which the stock is expected to reach as per the relative valuation method and/or technical analysis taking into consideration both short-term and long-term scenario.

Note 5: ‘Kalkine reports are prepared based on the stock prices captured either from the London Stock Exchange (LSE) and REFINITIV. Typically, both sources (LSE and or REFINITIV) may reflect stock prices with a delay which could be a lag of 15-20 minutes. There can be no assurance that future results or events will be consistent with the information provided in the report. The information is subject to change without any prior notice.’

Note 6: Dividend Yield may vary as per the stock price movement.