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Transitioning from sports to stocks


WeinkeToWarrick
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UA trading at about 1/3 of what they were a year or so ago, have taken a beating as a company

 

Took a look at them, worry is market is/has transitioned out of performance sports gear as casual clothing. Used to see people wearing UA everywhere, not just the gym. That has decreased, as well as their move into high priced shoes and casual clothing has not gone really well

 

Big names like Steph, Cam, Brady, Spieth, Harper promoting the gear might help a big turnaround but also add to the costs, and esp doesnt help when Steph is the most marketable merch pusher of that group (basketball just sells way more gear than any sport so he matters more than Brady or Spieth) and now Steph is taking heat for being political (i like the stance he has taken but also not the best for business) and also his bud KD has publically laughed off UA shoes saying nobody wants to play in them

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But low, sell high.

 

UA isn't going out of business, and Adidas just might find themselves on the verge of a shitstorm. Go to a local school playground and you'll see over half the kids decked out in the stuff...even if adults aren't buying it in droves the kids will and that's how you stay ahead of the curve.

 

As for Roku...how many people are "cutting their cable cord"? Tons, right...at least that's what I hear all the time. These people are millenials...they aren't going to pick up knitting...they still wanna watch their shit and Roku is the affordable way to do that. Wish I'd gotten in at $15 when it opened but it rose 70% in day 1 of trading and I foresee it taking off in much the way Netflix did...maybe not to the degree of Netflix but fully expect it to be worth 5x as much within 5 years.

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UA trading at about 1/3 of what they were a year or so ago, have taken a beating as a company

 

Took a look at them, worry is market is/has transitioned out of performance sports gear as casual clothing. Used to see people wearing UA everywhere, not just the gym. That has decreased, as well as their move into high priced shoes and casual clothing has not gone really well

 

Big names like Steph, Cam, Brady, Spieth, Harper promoting the gear might help a big turnaround but also add to the costs, and esp doesnt help when Steph is the most marketable merch pusher of that group (basketball just sells way more gear than any sport so he matters more than Brady or Spieth) and now Steph is taking heat for being political (i like the stance he has taken but also not the best for business) and also his bud KD has publically laughed off UA shoes saying nobody wants to play in them

Great inside from a socialist.
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Under armour is a clothing company that had it's moment of trendiness, that moment has passed, they sell it at kohls now(and it doesn't sell well), I'd try another stock.

I disagree that the moment has passed. The first wave passed. They will reinvent themselves and continue to be popular among the newest generations and have a resurgence. You really think with Adidas execs on their way to prison somebody else is gonna step up and take up the market share? I don't.

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I disagree that the moment has passed. The first wave passed. They will reinvent themselves and continue to be popular among the newest generations and have a resurgence. You really think with Adidas execs on their way to prison somebody else is gonna step up and take up the market share? I don't.

Market share with teams? Who cares about that? Remember big co's like LA gear, Reebok used to be big, Addidas rose. fell and rose somewhat, the new flash in the pan always gets the attention. UA is still somewhat trendy but I wouldn't buy their stock, I could certainly be wrong though, I'm not their market.

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You don't think it's important if a D-I school with millions of dollars of merchandise sales switches their apparel contracts?

So you're saying a whole shitload of teenagers and young adults are going to buy Underarmour because some basketball or football team gets their stuff for free? i know it works that way with blacks and shoes, i'm not sure it works that way with the rest?

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UA is a tough buy because it does not have the cash to push overseas and make a move in foreign markets, which are already dominated by much larger shoe/apparel companies. At the same time, it has to spend a lot of resources defending its home turf while also solving the issue of key retail partners closing their doors, limited retail space, and so forth. UA is such a great story and it has done a great job carving out a market in North America. The problem is going forward while maintaining its current slice of the market. Their recent filings show a troubling debt trend--worth reading and investigating. GL on your investments

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