Canaccord Genuity Reiterates Buy Rating, $68 PT on Under Armour on Misplaced Product Quality Concerns

In a report published Wednesday, Canaccord Genuity analyst Camilo Lyon reiterated a Buy rating and $68.00 price target on Under Armour

. In the report, Lyon noted, “UA was off 3.5% yesterday on what we believe were spill over product quality concerns stemming from a supplier that also manufacturers product for lululemon athletica (LULU : NASDAQ : $64.08 | BUY). While the root cause of LULU's too-sheer pants is still unknown, we believe those issues are unique to LULU and not a systemic problem at the manufacturing level. To our knowledge, UA has suffered no production quality problems and therefore any attribution of the like is misplaced.UA is attending a conference at which we believe they will reiterate this thinking and as such, we would use the weakness as a buying opportunity. We reiterate our BUY rating and $68 target.” Under Armour closed on Tuesday at $48.48.