Quick Read
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Under Armour (UAA) trades at $5.78 with 4 consecutive quarters of earnings beats, international regions growing rapidly, and management guiding to first positive adjusted EPS in FY27 with gross margin expansion of 220–270 basis points.
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Fairfax Financial’s Prem Watsa, known as Canada’s Warren Buffett, has accumulated nearly 1.2M Under Armour shares in structured blocks under $5 in May 2026, signaling deep-value conviction as the company enters a turnaround inflection.
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When a value investor often called Canada’s Warren Buffett starts buying a beaten-down American brand in structured, multi-million-share blocks, retail investors should at least look at the ticker. Stocks trading under $10 are usually there for a reason, sometimes broken business models, sometimes broken sentiment, and occasionally a turnaround story the market has not yet priced. Right now, one of the most aggressive accumulations on Wall Street is happening in an athletic apparel name whose shares have been under sustained pressure.
With that in mind, here is one stock trading under $10 where a legendary deep-value investor has doubled and tripled down, and where the fundamentals suggest a potential inflection ahead.
Under Armour (NYSE: UAA)
Under Armour (NYSE:UAA) is the Baltimore-based performance athletic brand that designs apparel, footwear, and accessories sold through wholesale partners and its own Brand House and Factory House stores. Shares closed at $5.78 on May 27, 2026, well within reach for retail investors and a fraction of the $8.15 52-week high. The market cap sits near $1.09 billion, a striking compression for a global apparel giant that generated $4.97 billion in trailing revenue.
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The fundamentals tell a turnaround story still in motion. Q4 fiscal 2026 revenue came in at $1.17 billion, narrowly beating consensus, with an adjusted diluted loss per share of $0.03, marking a 4th consecutive quarter of beating expectations. International is doing the heavy lifting: EMEA grew 7.1%, Asia Pacific 12.7%, and Latin America 22.4%. Wall Street’s consensus price target sits at $6.28, with 5 Buy ratings against 18 Hold and 3 Sell calls, leaving modest upside on consensus but meaningful room if management hits its FY27 guide.
The bull case rests on Prem Watsa’s Fairfax Financial conviction. Likened to the Warren Buffett of Canada, Watsa has accumulated UAA in massive, structured blocks over the last few quarters, capped off by open-market insider buying. The footprint is concrete: on May 12, 2026, Fairfax disclosed an acquisition of 438,723 Class A shares at $4.9934, followed the next day by 739,521 shares at $4.9733. Management is guiding to its first positive adjusted EPS in the reset cycle of $0.08 to $0.12, with gross margin expansion of 220 to 270 basis points. CEO Kevin Plank framed the moment plainly: “We do believe the inflection point is upon us in fiscal ’27.”