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Despite shares of Under Armour (UAA) falling over 30% year-to-date SunTrust Robinson Humphrey analyst Pamela Quintiliano and team argue that a "compelling opportunity at current levels" remains in the stock.

"We were encouraged that demand for meetings was strong, which we believe speaks to UAA's unique and compelling longer-term growth opportunity," they wrote.

"In addition, it has the highest short interest within our coverage at 27.8% in April vs. an average of 9.5% for the rest of the group, and has been trending higher over the last three months (from 23.5% in January)," they added.

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Under Armour also will benefit from moving into "mid-tier" stores like Kohl's and DSW "represents a significant customer acquisition opportunity," Quintiliano and team contended.

They believe notable downside risk is "limited" at current levels and expect momentum to strengthen as the year progresses.

Shares of Under Armour were lower nearly 3% during afternoon trading on Wednesday.

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