NEW YORK (TheStreet) -- Shares of Under Armour (UA) - Get Report are down by 5.15% to $41.35 in late afternoon trading on Tuesday, after the company reported 2016 second quarter earnings this morning, highlighted by a 57% decrease in profit and its largest sales growth drop in seven years.

TheStreet's Jim Cramer believes the current stock sell-off is justified as Under Armour is spending too much for its sales.

"CEO Kevin Plank is spending too much money to get them," Cramer said on CNBC's "Halftime Report." "I just didn't feel that Plank brought it [this quarter]."

Under Armour's sneaker sales are its bright spot, up 58%, but Cramer still says the "in-line sales doesn't cut it." The demise of Sports Authority also hurt Under Amour's bottom line.

"Sports Authority ruined everybody's quarter. Who would have thought that crummy company could hurt so many good companies?" Cramer added.

Additionally, Cramer thinks Under Armour's recent purchase of the former FAO Schwarz flagship store on New York City's Fifth Avenue is not representative of Under Armour as a scrappy underdog. Cramer says he wants "the guy who is like David, not Goliath."

"I think it's a really great company. It deserves to be down today," Cramer added.

Separately, TheStreet Ratings team rates Under Armour as a "hold" with a ratings score of C.

The primary factors that have impacted TheStreet's rating are mixed - some indicating strength, some showing weaknesses, with little evidence to justify the expectation of either a positive or negative performance for this stock relative to most other stocks. The company's strengths can be seen in multiple areas, such as its robust revenue growth, growth in earnings per share and compelling growth in net income. However, as a counter to these strengths, TheStreet Ratings also finds weaknesses including a generally disappointing performance in the stock itself and disappointing return on equity.

TheStreet Ratings objectively rated this stock according to its "risk-adjusted" total return prospect over a 12-month investment horizon. Not based on the news in any given day, the rating may differ from Jim Cramer's view or that of this articles's author.

You can view the full analysis from the report here: UA

(Under Armour is held in the Growth Seeker portfolio. See all of the holdings with a free trial)

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