Will Five Straight Quarters of Profit Growth Shift Amer Sports' (AS) Long-Term Investment Outlook?

• Amer Sports, Inc. recently reported a significant increase in pre-tax profit for the quarter ending June 2025, marking five consecutive quarters of improvement and underscoring sustained business momentum.
• The company has also attracted increased institutional investment, with holdings rising to 33.76%, reflecting strong confidence from major shareholders despite ongoing operational efficiency challenges.
• We’ll now explore how Amer Sports' five-quarter profit growth streak may impact the company's long-term investment outlook.

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Amer Sports Investment Narrative Recap

To be an Amer Sports shareholder today, you’d need to believe that its strong premium brands, expansion in Asia-Pacific, and growing direct-to-consumer focus can keep delivering consistent earnings momentum, even as regional market reliance and operational efficiency remain pressure points. The recent pre-tax profit jump and continued institutional buying underline confidence in these strengths, but operational efficiency challenges are still apparent, so the impact on the near-term outlook for sustainable margin growth remains limited.

One recent announcement that closely ties to this profit growth streak is Amer Sports’ upgrade of its Q3 2025 earnings guidance, now expecting high-20% revenue growth year over year. This update aligns with ongoing top-line expansion, suggesting that the core business is maintaining momentum and supporting the current investment catalysts around global brand demand and gross margin improvement.

Yet, despite the upward earnings revisions, investors should be aware that overreliance on Asia-Pacific markets brings potential risks if...

Read the full narrative on Amer Sports (it's free!)

Amer Sports’ narrative projects $8.9 billion in revenue and $874.0 million in earnings by 2028. This requires 16.1% yearly revenue growth and a $650 million earnings increase from $224.0 million today.

Uncover how Amer Sports' forecasts yield a $46.35 fair value, a 50% upside to its current price.

Exploring Other Perspectives

Five community members estimated fair values from US$14.38 to US$46.35 per share on Simply Wall St. Continued rapid sales expansion, inside and outside Asia-Pacific, means you may want to look closely at why views of Amer Sports’ potential are so varied.

Explore 5 other fair value estimates on Amer Sports - why the stock might be worth less than half the current price!

Build Your Own Amer Sports Narrative

Disagree with existing narratives? Create your own in under 3 minutes - extraordinary investment returns rarely come from following the herd.

• Our free Amer Sports research report provides a comprehensive fundamental analysis summarized in a single visual - the Snowflake - making it easy to evaluate Amer Sports' overall financial health at a glance.

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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.

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