This $6 Stock Might Be the Biggest Comeback Story of 2025

Adidas looks safe… But Under Armour might shock everyone

This week, we’re diving into the sportswear and athletic apparel sector to compare two iconic brands: Adidas and Under Armour. Both companies have global operations, strong brand recognition and passionate customer bases but they occupy very different positions in the market. Let’s get into it.

Industry Overview

In 2025, athletic apparel is facing mixed dynamics. Sportswear remains in demand, driven by fitness trends and athleisure but economic headwinds and inventory corrections are stressing margins. Brands are responding with digital platforms, collaborations and sustainability efforts. North America remains competitive, while performance in Europe and Asia hinges on shifting consumer preferences especially in China. ESG credentials are influencing consumer loyalty and investor sentiment. In short, survival depends on innovation, operational agility and a clear brand identity.

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Adidas AG (ETR: ADS.DE)

Founded in 1949 and headquartered in Herzogenaurach, Germany, Adidas is one of the world's largest sportswear brands, known for its iconic sneakers, performance apparel and lifestyle products. The company operates through three divisions: Sport Performance, Sport Style and Originals, covering everything from elite athletics to streetwear fashion.

Adidas has been reshaping its portfolio, focusing on high-margin collaborations (e.g., Yeezy relaunches) and improving its direct-to-consumer channel. However, it continues to face challenges with inventory overhang, supply chain adjustments and macroeconomic slowdowns in key markets.

Recent stock performance:
As of June 25, 2025, Adidas (ADS.DE) shares closed around €195.85, down about 0.9% on the week. The stock is down approximately 14% year-to-date, pressured by weaker consumer sentiment and inventory issues despite improving digital sales. Over the past 12 months, Adidas has underperformed peers, with a market cap of €35.2 billion, highlighting valuation concerns amid slower growth

3 reasons to consider Adidas:

1. Global Brand Recognition: Strong legacy in sports, football and streetwear.

2. Digital & Collab Strategy: New product lines and DTC (Direct-To-Consumer) focus drive engagement.

3. Valuation Support: Lower price levels may offer upside if demand stabilizes.

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Under Armour, Inc. (NYSE: UAA)

Founded in 1996 in Baltimore, Under Armour has carved out a niche in performance gear, known for moisture-wicking apparel and endorsements with elite athletes. It spans apparel, footwear and accessories, with a stronger footing in North America but growing global ambitions.

After several years of underperformance, Under Armour has focused on cost control, leaner operations and better product execution. It’s gaining traction through high-profile collaborations and lifestyle positioning, though profitability remains thin.

Recent stock performance:
As of June 25, 2025, Under Armour A (UAA) closed at $6.70, down ~3% on the day, with Class C (UA) at $6.31- both hovering near recent lows Year-to-date, the stock is down ~19%, recovering from highs near $8.28 in early 2025. With a 52-week range of $4.78–$11.89, it trades well below historical averages - suggesting both risk and value.

3 reasons to consider Under Armour:

1. Lean & Focused: Simplified operations and disciplined cost structure.

2. Growth Catalysts: New athlete partnerships and North America momentum.

3. Turnaround Valuation: Trading at ~0.8× book value, that’s a deep discount if execution improves.

So… which stock would YOU invest in?

Would you choose Adidas, with its global scale, strong brand and new product momentum?

Or go for Under Armour, with its leaner model, turnaround potential and deep discount?

Let me know in the comments. I want to hear how you think through this choice.

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SPOILER ALERT:

Here’s my personal take on the two companies:

Adidas remains the safer bet: global brand, diversified revenue, digital push and strategic collaborations. But its stock has been under pressure, making valuation a concern especially if consumer demand stagnates.

Under Armour is riskier but could reward brave investors. If it can sustain its turnaround, rebuild margins and reignite brand strength, the upside from these depressed price levels can be substantial. But it’s still early and execution uncertainty is high.

For me, it's a trade-off: Adidas for stability and brand equity, Under Armour for contrarian appeal. Right now, I'd lean toward Adidas as a core holding but would watch UA closely for signs of a strategic rebound.

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EVERY FRIDAY: STOCK COMPARISON CHART

I post new side-by-side stock builds every Friday. Subscribe to stay on top of these insights and share with a friend who’s into investing or athlete-inspired brands.

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HERE ARE THE 1-YEAR DAILY CHARTS:

Adidas AG (ADS.DE)

Under Armour A (UA)

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If you were to invest in one, which would you pick? Let me know in the comments.

And if you missed it, check out last week’s comparison between Burberry and LVMH, jsut a click away.

Make | Things | Happen

Dennis Riosa