The market wasn't that impressed with the guidance from Under Armour (UA, UAA) at their investor day, but the company is on track to a substantial improvement in margins. The company set a 2023 goal of reaching an operating margin in excess of 10% that leads to EPS growth of 40% annually. The stock ended down 10% on the day as the market likely wanted to see a higher margin target. One needs to consider that 10% isn't the ultimate goal, but a easy hurdle. Nike (NKE) has operating margins in excess of 12% while Lululemon Athletica (LULU) was recently above 20%. Ultimately, Under Armour should have a goal of reaching 15%+ with their premium assortment of athletic apparel and footwear. The stock remains a buy on dips. Disclosure: Long UA