Steph Curry has no doubt made a lot of money for Under Armour since signing with the company in 2013. But substandard sales of the Golden State Warriors star’s latest shoe cost them a jaw-dropping amount of coin recently.
ESPN’s Darren Rovell reports that Under Armour lost some $600 million of its worth last week when its stock dropped by more than four percent. And much of that hit can be attributed to the poor performance of the new Curry 3.
Foot Locker CEO Dick Johnson said the shoe “started off a bit slower than the previous models,” which caused a rapid selling of the company’s stock, and in turn a sharp decline in the company’s value.
Meanwhile, Curry is Under Armour’s biggest pitch man, with products that bear his name yielding $200 million of the company’s annual sales.
Johnson adds that the Curry 3 has only been on sale for one month, leaving plenty of time for it to bounce back.
“We’re optimistic that they [Under Armour] are going to be able to continue to keep that [footwear business] with some momentum behind it and certainly expand their footwear offerings,” Johnson said.