William Blair analyst Sharon Zackfia recently hosted investor meeting with Under Armour Inc’s (NYSE:UA) CFO Chip Malloy, who emphasized e-commerce, international, and footwear as shining beacons for high-growth opportunities for UA. On the heels of discussions with management, Zackfia remains positive on UA’s prospects, reiterating an Outperform rating on the company.

Additionally, management noted significant expectation for mix considerations to keep gross margin flat over the next few years, but with strong belief in UA’s share of athletic apparel to “grow through increased doors,” such as the upcoming Kohl’s launch, new product categories including sportswear, and rising share in existing categories.

Zackfia comments, “While it is difficult to pinpoint how much sales the Kohl’s launch will add to Under Armour’s top line next year, we suspect the relationship will more than offset the loss of roughly $160 million in annual sales from The Sports Authority.” Particularly, Zackfia underscores the advantage UA will receive from a brand perspective, as the sporting apparel giant will not face Kohl’s usual discounting, which management anticipates will render the brand left feeling “aspirational within the box.” Especially in light of Kohl’s customer base with a vast female majority, this will be a savvy, strategic “demographic play” for UA.

Moreover, Zackfia adds, “Still, we like shares given continued healthy sales trends despite broader choppiness in the retail and apparel landscape. In addition, we believe Under Armour is executing well on its longer-term opportunity to build a significantly larger global premium athletic brand, and we believe the launch of sportswear in the fall and distribution into Kohl’s next year could bolster investor enthusiasm on the name.”

According to TipRanks, analyst Sharon Zackfia is ranked #1,261 out of 4,124 analysts. Zackfia has a 49% success rate and earns 3.1% in her annual returns. When recommending UA, Zackfia realizes 43.9% in average profits on the stock.

TipRanks analytics exhibit UA as a Buy. Based on 18 analysts polled in the last 3 months, 9 rate a Buy on UA, 8 maintain a Hold, while 1 issues a Sell. The average price target is $46.93, marking just under an 11% upside from where the shares last closed.

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William Blair Weighs in on Under Armour Inc (UA) Following Management Meetings