UBS strategists have run a quant analysis and arrived a handful of retail stocks it’s particularly bullish one right now.
In a recent client note, analyst Jay Sole laid out his team’s top picks for the next three months, based on three key technical factors: high enterprise value relative to operating earnings, high P/E ratio, and daily price fluctuations.
The analysis centers around the bullish thesis that expensive, volatile retail stocks are the most likely to outperform in the short term.
Here are the four top names that UBS ranks as likely retail winners for summer 2026.
Under Armour
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Under Armour has performed well in 2026 while other athletic clothing retailers have struggled, rising 38% year-to-date. Despite a dip sparked by a disappointing Q4 earnings report, UBS correctly predicted a turnaround for the stock and remains bullish this growth will continue, surprising the market in the coming months.
“We believe the Under Armour brand name remains an important asset and we expect the company to better leverage it going forward than it has over the past few years,” Sole stated.
Birkenstock
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Despite volatility, Birkenstock has remained mostly in the green with more than 10% year-to-date gains. The brand’s popularity has soared in recent years as US consumers have embraced the former hippie brand and UBS is betting that this growth isn’t about to slow down.
Sole wrote that his team expects Birkenstock to expand its dominance on a global scale, predicting 13% annual sales growth for the next five years with profits per share growing even faster at 16%.
Boot Barn
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This western apparel retailer, known for cowboy boots and similar accessories, has struggled over the past year. Boot Barn stock is down 10% year-to-date after reporting strong sales figures late in 2025. But UBS sees it as an undervalued growth stock, poised for a turnaround.
“We see potential for BOOT to add 400 stores over the next 5 years,” Sole wrote. “We believe Boot Barn’s strong sales and EPS growth outlook justify a high P/E.”
Groupe Dynamite
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Canadian clothing retailer Groupe Dynamite is the worst-performing name among UBS’ retail stock picks, down 38% year-to-date. While the company has closed many stores recently, UBS sees high sales growth ahead, predicting 18% earnings-per-share growth over the next five years.
“We think GRGD is an attractive growth stock and see its Garage brand as a key growth driver with meaningful white space opportunities,” Sole added.