Columbia Sportswear stock price target lowered to $45 at UBS on tariff concerns

Published 23/07/2025, 12:10
Columbia Sportswear stock price target lowered to $45 at UBS on tariff concerns

Investing.com - UBS lowered its price target on Columbia Sportswear (NASDAQ:COLM) to $45.00 from $51.00 on Wednesday, while maintaining a Sell rating on the outdoor apparel and footwear company. The stock, currently trading near its 52-week low of $58.44, has declined over 30% in the past six months, according to InvestingPro data.

The investment bank expects Columbia Sportswear to report in-line second-quarter results, with potential upside due to easier gross margin comparisons from the previous year. The company maintains a solid financial health rating and holds more cash than debt on its balance sheet, as revealed by InvestingPro’s comprehensive analysis (subscribers can access 8 additional key insights about COLM).

UBS analyst Mauricio Serna identified tariffs as a significant near-term risk factor that could prevent Columbia from issuing third-quarter or full-year 2025 earnings guidance.

The firm believes Wall Street’s current consensus of $3.42 earnings per share for fiscal year 2025 will likely remain unchanged following Columbia’s upcoming earnings report.

UBS noted that Columbia Sportswear’s stock has historically moved approximately 5.8% in either direction following earnings announcements, but expects less volatility for the upcoming report.

In other recent news, Columbia Sportswear reported impressive first-quarter results for 2025, surpassing Wall Street expectations. The company achieved an earnings per share (EPS) of $0.75, outstripping the forecasted $0.66, and generated revenue of $778.5 million, exceeding the anticipated $762.48 million. Despite these robust figures, Citi has adjusted its price target for Columbia Sportswear to $64.00 from $68.00, maintaining a Neutral rating. Citi anticipates that Columbia’s second-quarter sales will align with consensus estimates, though earnings per share may fall slightly below expectations.

Additionally, Needham has initiated coverage of Columbia Sportswear with a Hold rating, acknowledging the company’s strong balance sheet and the growth potential of the outdoor industry. However, the firm expressed caution due to the uncertain macroeconomic environment, which may lead wholesale partners to reduce inventory purchases later in the year. In other developments, Columbia Sportswear recently held its 2025 Annual Meeting of Shareholders, where all nominated directors were elected with a strong majority. Meanwhile, NW Natural Holding Company announced the appointment of Peter Bragdon and Dave Drinkward to its board of directors, effective later in 2025.

This article was generated with the support of AI and reviewed by an editor. For more information see our T&C.

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