Under Armour Stock Dives 18% After Earnings. It Needs to Stop Blaming Trump’s Tariffs.

Golden State Warriors star Steph Curry tying his Under Armour sneakers during a game against the Phoenix Suns. (Ezra Shaw/Getty Images)

Under Armour stock was tumbling Friday after the sportswear company warned its profit would plummet over the current quarter because of President Donald Trump’s tariffs.

Shares plummeted 18% to $5.49 in early trading. The S&P 500 was 0.4% higher.

The selloff came after Under Armour forecast that its revenue would drop by 6% to 7% over the three months ending Sept. 30. For the quarter, it’s expecting to report an adjusted operating income of between $30 million and $40 million, well below the $155 million that analysts polled by FactSet had been forecasting. A year ago, the company reported adjusted operating income of $166 million.

Under Armour said its gross margin for the quarter would drop by 340 to 360 basis points, citing “supply chain headwinds, mainly resulting from anticipated impacts of tariffs.”

That doesn’t quite hold up, though. Plenty of U.S. companies have said this earnings season that Trump’s levies will dent their bottom line by less than previously expected, so tariffs just look like a convenient excuse in this instance.

The brand’s reputation has nosedived in recent years. Internet searches for Under Armour have tumbled in recent quarters, according to Seaport Research Partners analyst Joseph Civello, who added that the “bigger issue remains weak consumer demand,” rather than tariffs. He rated the stock Neutral.

The company’s results for the quarter ended June 30 were in line with the Street’s expectations. Under Armour reported an adjusted profit of 2 cents a share on revenue $1.13 billion.

Shares were already down 16% in 2025 before Friday’s selloff. The S&P 500 is up 7.8% this year.

Write to George Glover at george.glover@dowjones.com