WEBULL
WebtradeDownload

Amer Sports (AS) Could Be 47% Undervalued As Q3 Growth Guidance Rises

Simply Wall St · 1d ago

Amer Sports guidance reset puts Q3 in sharper focus

Amer Sports (AS) has raised its third quarter 2026 revenue outlook to 20% to 22% year over year growth, up from a prior range of 18% to 20%.

The updated guidance frames how investors might weigh the stock, which has fallen about 21% over the past month and about 27% over the past 3 months, despite the higher near term revenue expectations.

Amer Sports now trades at $26.73, with the share price down 21.43% over the past 30 days and 27.42% over 90 days, while the 1-year total shareholder return has declined 28.62%. This suggests recent selling pressure despite raised guidance and earlier upbeat earnings and investor day updates that highlighted growth in winter sports and direct to consumer channels.

Spot similar growth reset setups by running Amer Sports alongside a hand picked 16 high quality undiscovered gems that the market may be pricing just as cautiously.

Amer Sports is putting up solid operating numbers while the share price has been moving the other way. The key issue now is how that disconnect shows up in the valuation work that follows.

Most Popular Narrative: 47% Undervalued

Amer Sports last closed at $26.73, while the most widely followed narrative assigns a fair value of about $50.11. As a result, the current pricing sits well below that reference point and puts the focus squarely on whether the 8.8% discount rate and growth assumptions hold up.

The rapid global expansion of Salomon and Arc'teryx, especially their footwear and women's categories, driven by increased participation in outdoor and active lifestyles (particularly among younger and female consumers in APAC and EMEA) is creating significant white-space growth opportunities and unlocking higher revenue and gross margin potential.

See why 10 investors see Amer Sports as 47% undervalued.

Result: Fair Value of $50.11 (UNDERVALUED)

Still, a heavy tilt toward Asia Pacific and the cost of aggressive direct to consumer store expansion could pressure Amer Sports if demand or regulation shifts.

Find out about the key risks to this Amer Sports narrative.

Another View: Amer Sports through the earnings multiple

Amer Sports looks very different when you shift from that $50.11 fair value narrative to the current P/E. The stock trades on 28.5x earnings, which is significantly richer than the US Luxury sector at 16.4x and above its own fair ratio of 27.4x. That combination suggests investors are already paying up for growth, so the real question is whether the next few years justify that premium.

See what the numbers say about this price — find out in our valuation breakdown.

NYSE:AS P/E Ratio as at Sep 2026
NYSE:AS P/E Ratio as at Sep 2026

Next Steps

If the mixed signals around Amer Sports leave you on the fence, treat that as your cue to pressure test the numbers yourself and move fast. To see what the current optimism is built on, take a closer look at the 3 key rewards.

Looking for more investment ideas beyond Amer Sports?

If Amer Sports has sharpened your focus on pricing and expectations, now is the moment to widen your net with a few targeted screeners.

Spot fresh upside candidates by reviewing a curated 33 high quality undervalued stocks that combine quality fundamentals with what may be conservative market expectations.

Zero in on resilience by scanning a 30 resilient stocks with low risk scores designed for investors who want steadier balance sheets and fewer unpleasant surprises.

Target stronger foundations by tracking a list of solid balance sheet and fundamentals (23 results) so you are not left watching sturdier opportunities pass by while attention stays elsewhere.

This article by Simply Wall St is general in nature. We provide commentary based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. We aim to bring you long-term focused analysis driven by fundamental data. Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material. Simply Wall St has no position in any stocks mentioned.