Under Armour is Re-establishing itself as a Premium Brand
Under Armour has a plan: rely less on discounters and department stores, and more on its own stores and direct-to-consumer efforts.
It looks like it's starting to work.
In 21Q2, the company posted profit and sales that exceeded investor expectations and increased its fiscal-year outlook. Shares initially popped by as much as +8% immediately following the report, before settling in ~4% higher.
LikeFolio data suggests the consumers are taking shine to the Under Armour brand.
Under Armour brand happiness has improved by nearly +8% on a YoY basis.
This actually places its Sentiment level ~6 points higher vs. athleisure darling Lululemon.
What do consumers like?
Tweets reveal several nods to the brand's comfort and quality.
In addition, Under Armour demand appears to be outperforming many peers on a near-term basis.
Buzz surrounding Project Rock (the brand's exclusive line in collaboration with The Rock) is helping to generate some traction, with mentions picking up ahead of the Holiday season.
Overall, Mentions for Under Armour do not look especially riveting. However, we are seeing signs of stabilization after multiple years of serious decay...and this is a good sign.
Under Armour reports November 2 before the bell.