41 replies to this topic

[Old Man]

I figured at the time people were jumping on the bandwagon that UA was done for, that they might be shocked at UA bounce back.

 

Just the eye test, shows me, more people wearing UA from Nike to the other brands and I continue to see this trend.

[BSLChrisStoner]

I'm going to always champ UA, because they do a lot for this city.  They've stepped back from their subsidiaries in the last year... but they are still providing leadership.  What's going on with Port Covington is huge.  I think its clear they work hand-in-hand with Weller Development.

Glad they got past the SEC stuff ($9M to settle? That's nothing.). 

Great to see things improving for the firm as a whole. That's huge for our home. 

[JeremyStrain]

I figured at the time people were jumping on the bandwagon that UA was done for, that they might be shocked at UA bounce back.

 

Just the eye test, shows me, more people wearing UA from Nike to the other brands and I continue to see this trend.

They were legit in trouble for a while there. My Master's program included a couple full audits of them and behind the scenes stuff.

 

Making the changes at the top (Plank out, changeover of CEO, CFO, COO and CXO) were really key to adjustments.

 

The bigger problem they have is the overall brick and mortar retail problem. I keep seeing people bullish on companies like this, because after the Covid shutdown things ticked up a bit when people could finally get out and shop again, and stimulus money meant that some subgroups had money to burn. I would be much more concerned about Q3 and Q4 numbers this year. A lot of driving UA's sales has been kids, and that's a lot of the go-to stuff to buy for them, with kids indoors and not able to do a lot last year, kids kept growing, but didn't need the wardrobe they usually would. Now with them back in school, and bigger than they were before people are buying and updating to their sizes.

 

I have a feeling as we catch up to where people started getting out more last year, you'll see that wave die off. We went shopping in the outlet at Queenstown last week and they were saying they had a lot more stuff on clearance than they've had in a while from the winter cause people still weren't really going out yet, but demand had been picking up recently with the spring stuff coming out.

 

Other demo groups are more consistent, so I doubt they wagged TOO much, especially since people were wearing comfy clothes around the house for a year...but the second half of this year should be more telling to see.

 

Their income from sports teams was way down cause sports shut down so long (team shoes, uniforms etc), but that stuff was actually down year to year before all this mess. (Last year I audited was 2018 I THINK, not really sure what 19 did before covid hit in 20)

 

Will be interesting to see if they pair down some of the brick and mortar this year or not. Back half of this year into next year is going to have some changes in budgets, and you will probably see a lot more cut downs in this industry.

[Old Man]

They were legit in trouble for a while there. My Master's program included a couple full audits of them and behind the scenes stuff.

 

Making the changes at the top (Plank out, changeover of CEO, CFO, COO and CXO) were really key to adjustments.

 

The bigger problem they have is the overall brick and mortar retail problem. I keep seeing people bullish on companies like this, because after the Covid shutdown things ticked up a bit when people could finally get out and shop again, and stimulus money meant that some subgroups had money to burn. I would be much more concerned about Q3 and Q4 numbers this year. A lot of driving UA's sales has been kids, and that's a lot of the go-to stuff to buy for them, with kids indoors and not able to do a lot last year, kids kept growing, but didn't need the wardrobe they usually would. Now with them back in school, and bigger than they were before people are buying and updating to their sizes.

 

I have a feeling as we catch up to where people started getting out more last year, you'll see that wave die off. We went shopping in the outlet at Queenstown last week and they were saying they had a lot more stuff on clearance than they've had in a while from the winter cause people still weren't really going out yet, but demand had been picking up recently with the spring stuff coming out.

 

Other demo groups are more consistent, so I doubt they wagged TOO much, especially since people were wearing comfy clothes around the house for a year...but the second half of this year should be more telling to see.

 

Their income from sports teams was way down cause sports shut down so long (team shoes, uniforms etc), but that stuff was actually down year to year before all this mess. (Last year I audited was 2018 I THINK, not really sure what 19 did before covid hit in 20)

 

Will be interesting to see if they pair down some of the brick and mortar this year or not. Back half of this year into next year is going to have some changes in budgets, and you will probably see a lot more cut downs in this industry.

I barely shop at stores these days. But, I had to admit to hitting the UA outlet off Fort Smallwood road, as they are usually a real outlet and priced accordingly. 

 

They didnt appear to be impacted by lack of customers. We were lined up, outside, socially distance while they only let so many into the store.

 

Just watching the college sports, it appears that UA is the major supplier of uniforms and shoes. Of course that is just perspective and viewpoint and not scientific measurements.

[JeremyStrain]

I barely shop at stores these days. But, I had to admit to hitting the UA outlet off Fort Smallwood road, as they are usually a real outlet and priced accordingly. 

 

They didnt appear to be impacted by lack of customers. We were lined up, outside, socially distance while they only let so many into the store.

 

Just watching the college sports, it appears that UA is the major supplier of uniforms and shoes. Of course that is just perspective and viewpoint and not scientific measurements.

I compared with NIKE and ADIDAS when I did my research. Nike was still killing them overall. Like UA was a version of them but like a decade or two behind volume wise, and Nike actually had more team money than UA too. It's probably just cause you like them so you notice them more but i was surprised they didn't have a bigger chunk of that market.

 

There was a couple people, maybe 5 shopping when we hit Queenstown, and again about the same when we hit West Ocean City. But it wasn't overwhelming or anything.

 

They have a deal with 3rd party companies to buy a lot of their out of season stuff for pennies on the dollar and sell it vs just marking it down to nothing in their own outlets, so companies like TJ Maxx actually keep the outlet prices high at UA. The cost of storing/distributing is usually not ideal when you could just dump them and not pay for the shipping/warehouses it would take, but it means you don't make as much on it if you overproduced that season. Something they've had trouble with predicting for a few years now.

 

Overall they are on a good path, making changes at the top was the important part, now we get to see them actually do something with it.

[Old Man]

Interesting take on the subject.

https://www.investop...-2016-nkeua.asp

[mweb08]

I'm going to always champ UA, because they do a lot for this city. They've stepped back from their subsidiaries in the last year... but they are still providing leadership. What's going on with Port Covington is huge. I think its clear they work hand-in-hand with Weller Development.

Glad they got past the SEC stuff ($9M to settle? That's nothing.).

Great to see things improving for the firm as a whole. That's huge for our home.

I've seen that they've scaled back on a lot of their Port Covington plans, mainly the parts that would be impactful for the city. Is this inaccurate?

[BSLChrisStoner]

I've seen that they've scaled back on a lot of their Port Covington plans, mainly the parts that would be impactful for the city. Is this inaccurate?

HQ still going there. Scaled down some, but still. And while they (through Sagamore Development their former sub)... and now Weller Development (close relationship) are now not focusing solely on making Baltimore  'Cyber Security USA', they are the primary driver of the development as a whole, and are actively pursuing other companies and industries to join the space.  

 

[Old Man]

https://www.southbmo...ington-in-2025/

[mweb08]

HQ still going there. Scaled down some, but still. And while they (through Sagamore Development their former sub)... and now Weller Development (close relationship) are now not focusing solely on making Baltimore 'Cyber Security USA', they are the primary driver of the development as a whole, and are actively pursuing other companies and industries to join the space.

Seems like it's scaled down in a significant way, and the original design was part of pitch for the tax breaks, etc, right?

[JeremyStrain]

Interesting take on the subject.

https://www.investop...-2016-nkeua.asp

It's almost like the cliffs notes version of my paper.

[BSLChrisStoner]

Seems like it's scaled down in a significant way, and the original design was part of pitch for the tax breaks, etc, right?

 

UA's HQ size was decreased. And it was part of the TIF for PC... but I don't think the vision for PC as a whole has significantly scaled down.  

[Old Man]

UA's HQ size was decreased. And it was part of the TIF for PC... but I don't think the vision for PC as a whole has significantly scaled down.  

I think some naysayers are trying to claim that.

 

But, I do agree with you.

[Old Man]

It's almost like the cliffs notes version of my paper.

and you didnt get paid for your work.

[mweb08]

UA's HQ size was decreased. And it was part of the TIF for PC... but I don't think the vision for PC as a whole has significantly scaled down.

Maybe this is misleading:
https://twitter.com/...0799322115?s=19

[BSLChrisStoner]

Maybe this is misleading:
https://twitter.com/...0799322115?s=19

Yeah, I think so. What's going on there is still tremendous. 

 

https://pc.city/

[JeremyStrain]

and you didnt get paid for your work.

One could argue with the Master's it got me, I AM getting paid for it But seriously though, I said a lot of the same stuff like 2 years before, with a little more focus on their leverage and loans, and more skeptical about the retail marketplace in general.

[mweb08]

Looks cool. I guess we'll see if it ends up looking that cool and how impactful this ultimately is. As you know, I'm not as likely to praise big corporations for doing things like this after negotiating a great deal for themselves to stay (or relocate) as you are. I'm also more concerned with helping the city in other ways, so we'll see if this is a win on that front as well, but you'll just have to forgive my skepticism for now.

[The Epic]

I'm still skeptical toward the company surviving past 2023 as constructed, but less so than I was last year. I'll leave it at that. 

[You Play to Win the Game]

I'm still skeptical toward the company surviving past 2023 as constructed, but less so than I was last year. I'll leave it at that.

That's hardcore.