NEW YORK (TheStreet) -- Shares of Under Armour (UA) - Get Report were higher in late morning trading on Friday as Guggenheim started covering the stock with a "buy" rating earlier today, the Fly reports.
The firm has a $50 price target on shares of the Baltimore-based athletic apparel maker.
Guggenheim said it expects the strong activewear and athletics category to continue to grow, according to the Fly.
Growth in the sector warrants Under Armour shares trading at a premium multiple, the firm added.
(Under Armour is held in the Growth Seeker portfolio. See all of the holdings with a free trial)
Separately, 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.
TheStreet Ratings rated this stock as a "hold" with a ratings score of C+.
The company's strengths can be seen in multiple areas, such as its robust revenue growth, good cash flow from operations and expanding profit margins. However, as a counter to these strengths, we also find weaknesses including a generally disappointing performance in the stock itself, unimpressive growth in net income and premium valuation.
You can view the full analysis from the report here: UA