Apparel retailer Under Armour (UAA) saw its stock drop 9.8% intraday on Feb. 10 following Citi analysts downgrading the stock from “Neutral” to “Sell,” despite the company reporting better-than-expected quarterly results and raising its outlook. Citi analyst Paul Lejuez cited pressures in the North American market and a slowdown in the EMEA region.
In addition, the analyst flagged rising competitive pressure from rivals in the athletic apparel environment. Lejuez has also warned that Under Armour will likely generate negative free cash flow in fiscal 2026 and may struggle to grow EPS in fiscal 2027.
