UA - Why Shares of Foot Locker Hanesbrands and Under Armour All Jumped Today
A reopening economy and a better national jobs picture helped boost the confidence of investors who are focusing on business getting back to normal, and not on the continued displacement occurring in large cities as protests and riots break out.
Shares of apparel retailers were rising fast in late-day trading on Wednesday, with Foot Locker (NYSE: FL) up 7%, Hanesbrands (NYSE: HBI) jumping nearly 11%, and Under Armour (NYSE: UA)(NYSE: UAA) almost 9% higher.
Retailers, especially apparel companies, have borne a heavy load under the forced closures brought on by the COVID-19 pandemic because they were deemed nonessential businesses. While rivals like Walmart (NYSE: WMT) and Target (NYSE: TGT) were allowed to stay open because they also sold food, they continued selling apparel, sporting goods, and other merchandise that the specialty retailers were prohibited from remaining open and selling themselves.