NKE vs UAA

For growth investors, Under Armour, Inc.

(UAA) is the stronger pick with -3. 9% revenue growth year-over-year, versus -9. 8% for NIKE, Inc. (NKE). NIKE, Inc. (NKE) offers the better valuation at 20. 9x trailing P/E (30. 3x forward), making it the more compelling value choice. Analysts rate NIKE, Inc. (NKE) a "Buy" — based on 71 analyst ratings — the highest consensus in this comparison. The "better buy" depends entirely on your goals: growth investors should weight revenue trajectory, value investors should weight P/E and PEG, and income investors should weight dividend yield and streak.

On forward P/E, NIKE, Inc.

is actually cheaper at 30. 3x.

Over the past 5 years, NIKE, Inc.

(NKE) delivered a total return of -59. 2%, compared to -69. 4% for Under Armour, Inc. (UAA). Over 10 years, the gap is even starker: NKE returned +4. 4% versus UAA's -84. 1%. Past returns do not guarantee future results, and the stock with the higher historical return may already have its best growth priced in.

By beta (market sensitivity over 5 years), NIKE, Inc.

(NKE) is the lower-risk stock at 0. 92β versus Under Armour, Inc. 's 1. 32β — meaning UAA is approximately 42% more volatile than NKE relative to the S&P 500. On balance sheet safety, NIKE, Inc. (NKE) carries a lower debt/equity ratio of 83% versus 137% for Under Armour, Inc. — giving it more financial flexibility in a downturn.

By revenue growth (latest reported year), Under Armour, Inc.

(UAA) is pulling ahead at -3. 9% versus -9. 8% for NIKE, Inc. (NKE). On earnings-per-share growth, the picture is similar: NIKE, Inc. grew EPS -42. 1% year-over-year, compared to -146. 8% for Under Armour, Inc.. Over a 3-year CAGR, NKE leads at -0. 3% annualised revenue growth. Higher growth typically commands a higher valuation multiple — check whether the premium P/E or P/S is justified by the growth rate using the PEG ratio.

NIKE, Inc.

(NKE) is the more profitable company, earning 7. 0% net margin versus -10. 0% for Under Armour, Inc. — meaning it keeps 7. 0% of every revenue dollar as bottom-line profit. Operating margin tells a similar story: NKE leads at 8. 0% versus -0. 7% for UAA. At the gross margin level — before operating expenses — UAA leads at 45. 5%, reflecting greater pricing power or product mix advantage. Stronger margins indicate durable pricing power, lower cost of revenue, or higher mix of software/services. They are one of the clearest signs of business quality.

On forward earnings alone, NIKE, Inc.

(NKE) trades at 30. 3x forward P/E versus 51. 7x for Under Armour, Inc. — 21. 4x cheaper on a one-year earnings basis. Analyst consensus price targets imply the most upside for NKE: 41. 9% to $64. 13.

In this comparison, NKE (3.

4% yield) pays a dividend. UAA does not pay a meaningful dividend and should not be held primarily for income.

For long-horizon retirement investors, NIKE, Inc.

(NKE) is the stronger choice — it scores higher on the combination of lower volatility, dividend reliability, and long-term compounding (low volatility (β 0. 92), 3. 4% yield). Both have compounded well over 10 years (NKE: +4. 4%, UAA: -84. 1%), confirming both are viable long-term holds — but the lower-volatility option typically results in less emotional selling during corrections. Retirement portfolios generally favour predictability over maximum returns. Consult a financial advisor before making allocation decisions.

Both stocks operate in the Consumer Cyclical sector, making this a peer-level intra-sector comparison — the same macro tailwinds and headwinds will affect both.

In terms of investment character: NKE is a mid-cap income-oriented stock; UAA is a small-cap quality compounder stock. NKE pays a dividend while UAA does not, making them suitable for different income and tax situations. These fundamental differences mean investors should not choose between them on a single metric — the "better stock" depends entirely on which of these characteristics aligns with your investment strategy.