UA - Is Under Armour Selling its Once Highly Popular MyFitnessPal App?
Imagine spending over $125,000 on a single item, more than twice your hypothetical $55,000 annual income. Spending that much suggests you'd want it too much to be willing to part with it just a few years later at what could potentially be a discounted price. And yet that's what Under Armour (NYSE: UAA)(NYSE: UA) is reportedly doing with MyFitnessPal.
The technology news site The Information is reporting this week that Under Armour wants to offload MyFitnessPal, an app it paid $475 million to acquire in 2015. For perspective, Under Armour's net income was $208 million in 2014.
Whatever Under Armour's reason is for making this transaction, it probably isn't good news for shareholders.