Motley Fool contributor Rick Munarriz is going with Nike in its battle with Under Armour, citing the bigger brand’s valuation and “reasonable 1.4 percent dividend.”
“Under Armour trades at a steep 38 times this year’s projected earnings and a still beefy 31 times next year’s bottom-line estimate. Nike, on the other hand, can be had for just 18 times this fiscal year’s profitability and a mere 15 times next year’s target.
Under Armour deserves its premium. The company is earlier in its growth cycle, and it shows: It’s growing its revenue by 33% this year and 23% come 2012. Nike, on the other hand, is growing at less than half that rate.”
Read the rest of the story at citybizlist.com
Latest posts by Citybizlist Staff (see all)
- Citybizlist and Center Club Join Forces to Launch ‘City Genius’ - April 5, 2016
- Bipartisanship Sneaks Into State Senate - March 11, 2016
- Marylanders Like Hogan, Feel State Headed in Right Direction Goucher Poll Shows - February 23, 2016