Under Armour (UA) got a little Valetine's Day love from analysts at Morgan Stanley (MS) Tuesday with the firm upgrading the beleaguered apparel company to equal weight from sector weight. The bank believes that the company's worst days are behind it, and even though its price target of $20 is a downside from the stock's opening price today, it still represents an impressive price to future earnings multiple of 40.
"UAA is an international growth and margin rebound story," analyst Jay Sole wrote. "We believe the Under Armour brand has sustained some damage, but overall remains solid. We also believe the company will begin slowly leveraging expenses in FY18."
Under Armour shares were up 0.75% in afternoon trading Tuesday.
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Despite the president's promise of no stimulus until after Nov. 3, there are no signs yet that this is the sort of correlated selling that leads to a deep correction.
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