Foot Locker (FL) - Get Report reported a "great quarter" on Friday, TheStreet's Jim Cramer said on CNBC's "Stop Trading" segment Monday. However, its conference call had implications for other stocks.
Shares of Under Armour (UA) - Get Report are rebounding only slightly Monday after declining on Friday when Foot Locker's management said UA's Curry 3 shoes got off to a slow start compared to other models.
Those comments put increased pressure on the stock, which is now down 17% on the month and about 35% from its 52-week highs, said Cramer, the co-manager of the Action Alerts PLUS portfolio.
Part of the problem with Under Armour is uncertainty -- investors do not know how the company's growth story is coming along. While Under Armour is still growing, each growth metric is being re-evaluated now, Cramer explained.
It doesn't help that apparel and footwear stocks like Under Amour and Nike (NKE) - Get Report are largely out of favor among investors. Right now, the market likes tech, financials, industrials and some healthcare stocks, Cramer concluded.
At the time of publication, Cramer's Action Alerts PLUS had no position in companies mentioned.