Nike vs under armour financial analysis

Although Nike remains at the top, Under Armour recently muscled out Adidas to claim the number two slot for most popular sportswear company. Building off of the incredible consumer demand we are experiencing for the brand, we firmly believe we are just getting started in our pursuit to become not only the definitive performance sports brand, but a truly great global brand.

By Jeremiah Strider Updated October 10, — 1: UA are three of the largest retailers in the competitive athletic apparel industry. It also yields a dividend of around 1. Adidas has a more established market in European countries. The Adidas Group also owns two other widely recognized names in athletics: It plans to create this growth through investments intended to increase its speed of new products to market, which will allow the company to adapt more quickly.

It also intends to invest strategically in marketing in growing urban cities across the globe, as the company recognizes the movement of population, particularly younger and more athletic segments of the population, to urban areas.

Overview of Nike Nike is the largest company of the three and perhaps the one with the most brand recognition. Nike is dominant across the globe; in particular, it maintains the largest market share in the athletic apparel industry in North America.

The company has made significant efforts in recent years to repair public perception issues surrounding its labor practices in emerging markets. Its turnaround in the part of its business operations has been widely praised. Nike markets most of its products using the Nike name, but it also owns smaller niche brands, such as Jordan and Converse.

It intends to accomplish this by significantly increasing its direct sales and e-commerce revenues in developed markets.

Overview of Adidas

The company also sees significant growth opportunities in China and in its women-focused product lines. Overview of Under Armour Under Armour is by far the youngest of the three stocks, having gone public in While the company's growth during the past 10 years has been remarkable, it is still also the smallest of the three companies by any measure.

As a younger growth-phase company, the stock does not currently pay a dividend. Under Armour's revenue and net income growth since its initial public offering IPO has been exponential, rewarding early investors with significant share price growth.

Starting out with a niche in the American football market, famously selling moisture-wicking base layers, the company has consistently found ways to innovate products that penetrate mature markets. It tends to appeal to younger market segments, and it often prices its products at a premium for its perceived quality of innovative materials and designs.

Compared to Nike's size, Under Armour appears to have substantial room to grow.

Overview of Nike

Under Armour projects substantial growth in footwear sales and additional income streams from more sales directly to consumers. The expectations are set high, but recent history would say not to bet against Under Armour's success. Competitive Dynamics Nike is the giant in the industry and perhaps has the most to lose.

Its shares reached all-time highs inand its growth projections continue to be aggressive. Competitors like Under Armour will continue to innovate to attempt to steal market share away, and the younger generation of buyers may show signs of favoring smaller brands and more transparently sourced goods that they can obtain easily through online shopping.

Adidas is entrenched in market segments domestically and abroad where it has significant brand loyalty relative to its competition.Under Armour has over $ million in long-term debt, which means they have $ of long-term debt for every dollar in assets, compared to Nike who has only $ of long-term debt for every.

Nike, adidas and Under Armour are three companies with interesting long-term prospects, as they benefit from factors such as population growth, economic growth, and a positive secular trend in the. Even though Nike’s $ billion market caps trumps that of Under Armour’s of $ billion, Under Armour recently announced growth plans that are giving Nike investors reason to worry.

Adidas vs. Nike vs. Under Armour: Which for ? | Investopedia

Under Armour has a market capitalization around $ billion and trailing month revenues of $ billion. The stock ended trading around $80 per share with a P/E ratio of approximately Better Buy: Nike, Inc.

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Adidas and market capitalization, just to name a few financial metrics; Under Armour this article will examine Nike and Adidas via a three-part analysis designed.

Nike, Inc. NKE and Under Armour, Inc. UAA are the two largest U.S.-based athletic footwear and apparel companies. Both Nike and Under Armour sponsor some of the most recognizable names in American.