Under Armour Gains As Data Shows Retailer on Hiring Spree By Investing.com

By Dhirendra Tripathi

Investing.com — Under Armour (NYSE:UA) was up 1.8% in Wednesday’s premarket trading as data showed that the retailer is hiring in large numbers, a clear indication that it expects demand to continue further.

According to the jobs analytics database by GlobalData, Under Armour had posted over 2,300 jobs in Q2 – a 151% increase when compared to Q1. This included a spurt of hiring activity in April 2021 – the first time in over a year that the company listed over 1,400 jobs.

“. . .the business is more confident in recruiting for positions it put on hold during the pandemic. The business is also moving strategically by placing more emphasis on direct-to-consumer sales, which necessitates additional roles,” Neil Saunders, managing director of US retail at GlobalData, said in a note Monday.

The company has posted around 800 jobs related to stock and sales supervision since January, but close to 600 were listed in Q2 (up to June 15), according to Ajay Thalluri, business fundamentals analyst at GlobalData,

Last month, the sportswear retailer increased its minimum wages by $5 to $15 per hour. In the month prior, it had also raised its outlook for fiscal 2021.

Revenue is expected to be up at a high-teen percentage rate compared to the previous expectation of a high-single-digit percentage rate increase.

Adjusted diluted earnings per share is expected to be in the range of 28 cents to 30 cents compared to the previous expectation of 12 cents to 14 cents.