Under Armour Inc upgraded its annual revenue and profit outlook, as the demand for casuals and athletic wear rebounded, according to a report on Tuesday.
- Shares of the company soared 10.5% after the athletic wear maker stated it expected revenue growth of over 20% in North America.
- Athletic apparel makers including Addidas AG and Nike have posited higher sales benefits from people opting for joggers, hoodies, and other smart casuals that cater to their needs for workout wear and comfortable day outfits.
- Market analysts expect the athletic wear boom to continue at least through next year, even as offices and schools are being reopened.
- Under Armour’s outlook raise comes after months-long factory closures in Vietnam increased concerns about the availability of its products during the holiday season and beyond.
It expects 2021 revenue to jump nearly 25% versus its previous forecast of low twenties, and compared with analysts average estimate of a 22.7% jump. UAA up +0.09%.