Clothing stocks got a lift from the U.S.-Vietnam trade deal. But an analyst sees these difficulties ahead.

The Ratings Game

‘We think this news increases the probability more tariff increases for other countries are coming,’ UBS analyst says

Published: July 3, 2025 at 1:43 p.m. ET

UBS believes Under Armour is among the most vulnerable companies to the United States’ trade deal with Vietnam. Photo: Getty Images

Shares of some big brands that make a lot of shoes and clothes in Vietnam — like Nike Inc. NKE and Lululemon Athletica Inc. LULU — got a lift on Wednesday after President Donald Trump said the nation had reached a trade deal with the U.S.

But afterward, a UBS analyst predicted a decrease in profit estimates and more complications ahead.