Charted: Mounting a comeback
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Under Armour's long-awaited turnaround is beginning to materialize.
Why it matters: The apparel giant's sales had been sinking as it struggled with what analysts say was a series of merchandising and strategic mistakes.
Between the lines: Under Armour's revenue still fell 11% in its most recent quarter, compared with a year earlier — but sales and earnings topped expectations.
- The stock soared 27% to $11.13.
Zoom in: After returning to the company as CEO in April, founder Kevin Plank moved quickly to slash discounts and extract savings from the company's supply chain.
- "While lower discounting penalized sales, it benefited margin," William Blair analyst Sharon Zackfia wrote today in a research note.
💠Nathan's thought bubble: Investors weren't too thrilled when Plank came back, but it looks like they're changing their minds about him.
