Is Under Armour, Inc. overvalued or undervalued?

As of 17 October 2025, the valuation grade for Under Armour, Inc. has moved from attractive to expensive, indicating a shift towards overvaluation. The company is currently considered overvalued, with a P/E ratio of 21, a Price to Book Value of 1.47, and an EV to EBITDA of 9.37. In comparison to peers, Ralph Lauren Corp. has a P/E of 48.61, while Kontoor Brands, Inc. shows a more favorable P/E of 17.91, suggesting that Under Armour's valuation is not competitive within its industry.
Recent stock performance highlights the challenges Under Armour faces, with a year-to-date return of -42.27% compared to the S&P 500's gain of 13.30%. This stark contrast reinforces the perception of overvaluation, as the company has significantly underperformed the broader market over multiple periods, including a 5-year return of -63.23% versus the S&P 500's 91.29%.