|Bid||98.70 x 800|
|Ask||98.65 x 1400|
|Day's range||97.82 - 99.29|
|52-week range||60.00 - 105.62|
|Beta (5Y monthly)||0.81|
|PE ratio (TTM)||61.89|
|Earnings date||22 Sep 2020 - 28 Sep 2020|
|Forward dividend & yield||0.98 (1.00%)|
|Ex-dividend date||29 May 2020|
|1y target est||110.73|
There are a lot of similarities between the growth that Lululemon Athletica (NASDAQ: LULU) is experiencing now and the growth that Nike (NYSE: NKE) was experiencing about 30 years ago. The main difference between the two is that Nike generates most of its revenue from footwear and Lululemon makes virtually all its money from apparel. Lululemon is quickly gaining market share against Nike and Adidas (OTC: ADDY.Y) (OTC: ADDDF) in apparel.
Nike (NYSE: NKE) is recognized as one of the most iconic brand names in the athletic footwear and apparel industry. The company has more than 1,000 Nike-branded stores in both the U.S. and international markets and chalked up revenue of $37.4 billion for the fiscal year ended May 31. Although Nike incurred a $790 million net loss for its fourth quarter, investors should note that this was chiefly due to numerous store closures in North America, Asia, Europe, and the Middle East.
In that case, it might be ready for a rebound after the current coronavirus health crisis subsides. Walt Disney (NYSE: DIS) is having a rough time these days. At the same time, Disney faces the costs of running the parks and implementing new safety measures such as cleaning processes.
Although the company posted a 17% decline in revenue in the first quarter ended May 3 (related to the coronavirus pandemic), it fared better than competing companies such as Nike, which posted a 38% decline in sales in its most recent quarter (fiscal Q4), and Under Armour, whose sales dropped 23% in the first quarter. Here are two reasons we can expect Lululemon to get back up and dust itself off pretty quickly to return to its more typical growth pattern. Lululemon, which has already proved itself as an innovator in the industry, is poised to benefit from this movement.
In the latest trading session, Nike (NKE) closed at $96.97, marking a +0.73% move from the previous day.
The list of retailers saying they will close this Thanksgiving is piling up.
(Bloomberg Opinion) -- At the moment when so many industries are staggered by the coronavirus pandemic, investors are beating the market by putting their money in companies committed to environmental, social and governance priorities favoring transparency, diversity and sustainability.ESG is where profits are, signaling that doing the right thing increasingly is the smartest bet. The iShares exchange-traded fund investing in companies it thinks have “positive environmental, social and governance characteristics,” one of the largest of the type, produced a total return this year that is more than three times the performance of S&P 500 index.The convergence of high-mindedness and profit was noted this month by Al Gore, the former vice president, 2000 Democratic presidential candidate and Oscar-winning environmental documentarian. He told a Bloomberg conference, “It is ever clearer that sustainable technologies are cheaper and better.”For more and more companies, doing the right thing is becoming as much a business imperative as a social responsibility, especially in the market for renewable energy. Apple Inc., the Cupertino, California maker of personal computing and mobile communication devices that has appreciated 30% this year, recently unveiled its plan to become carbon neutral across its entire manufacturing supply chain and product life cycle by 2030. Nike Inc., the Beaverton, Oregon designer and manufacturer of athletic shoes and apparel, is part of the RE100 coalition of companies planning to supply all energy needs from renewable sources by 2025.“Long term, renewables could emerge stronger than ever, especially if governments integrate support for clean energy into Covid-19 economic-recovery programs,” said a report in May by the Yale School of Environment.That’s already reflected in the anticipated performance of 38 U.S.-based companies generating at least 50% of their revenue from clean-energy products or clean technology. As a group, their sales are expected to rise 9% this year, 30% in 2021 and 23% in 2022, according to data compiled by Bloomberg.By contrast, the 26 corporations in the S&P 500 Energy Index, a benchmark for fossil fuel, will suffer revenue declines of 29% in 2020, followed by growth of 11% in 2021 and 13% in 2022, according to analyst estimates compiled by Bloomberg.The phenomenon of ESG stocks outperforming the market is a long-term trend accentuated by the coronavirus. The 38 clean companies produced a 254% total return (income plus appreciation) in the past 12 months, 250% during the past 2 years and 330% since 2015. Among them, Palo-Alto-based Tesla Inc.’s 1-year return is 575%, including 130% since March when the coronavirus prompted much of the U.S. economy to shut down.Enphase Energy Inc., the renewable-energy equipment maker based in Petaluma, California, gained 199% the past year, including 27% since March. Lehi, Utah-based Vivint Solar Inc. is up 192% over the past 12 months and 107% since March, according to data compiled by Bloomberg.Traditional energy companies in the S&P 500 Energy Index lost 35%, 46% and 33%, respectively, for the 1, 2, and 5-year periods. Irving, Texas-based Exxon Mobil declined 38% during the past year, including 13% since March. Houston-based Conoco Phillips is down 30% over 12 months, including 16% since March. Kinder Morgan Inc., the Houston pipeline transportation and energy storage provider, tumbled 28% during the past year, including 25% since March, according to data compiled by Bloomberg.Since March, when the pandemic proved its virulence, ESG’s advantage over the market doubled. That’s reflected in the distance between the performance of BlackRock’s iShares Global Clean Energy ETF, one of the largest exchange-traded funds investing in renewable energy and clean technology, and State Street’s Energy Select Sector SPDR Fund, one of the largest ETFs investing in traditional energy companies. The fossil fuel crowd is getting crushed, according to data compiled by Bloomberg.Anyone who thinks that ESG investors are more lucky than smart, or a trendy cohort of woke millennials, should consider the divergence between Aramco and Tesla. Aramco, the Saudi oil giant that remains for now the world’s largest company, was valued at more than $2 trillion after its initial public offering in December. Since then, Tesla’s market capitalization quadrupled to $286 billion passing Toyota Motor Corp. to become the world’s biggest automaker. During the same period, Aramco declined 15% to $1.7 trillion, according to data compiled by Bloomberg.The gap between Aramco and Tesla narrowed $500 billion, a little more than the $467 billion value of the world’s 9th-largest company. That would be Berkshire Hathaway, created by Warren Buffett, once the world’s richest man and the avatar of value investing. He’s shown no inclination to move toward ESG. So far.This column does not necessarily reflect the opinion of the editorial board or Bloomberg LP and its owners.Matthew Winkler, Editor-in-Chief Emeritus of Bloomberg News, writes about markets.For more articles like this, please visit us at bloomberg.com/opinionSubscribe now to stay ahead with the most trusted business news source.©2020 Bloomberg L.P.
Nike (NYSE: NKE) is undoubtedly one of the world's strongest sports and apparel brands. Founded in 1964 and then listed in 1980, the company has built up a reputation for quality and innovation, primarily in its athletic shoes. With overheads still high during the period, Nike ended up reporting a net loss of $790 million for the quarter.
Shares of Macy’s and Kohl’s ended lower on Wednesday, falling 5% and 3.9% respectively, after UBS downgraded both stocks to sell. The rating cut comes as the firm’s data suggests the acceleration to online shopping as a result of COVID-19 will persist after the pandemic ends. Instead, UBS recommends ‘premium’ stocks that can operate a ‘go it alone’ model, such as Nike, Levi’s and Capri Holdings. The Final Round panel discusses the outlook for the retail landscape.
After a massive sales decline in the fourth quarter and the expansion of its digital program, Nike (NYSE: NKE) said it would be streamlining its workforce toward a leaner company with a digital focus. CEO John Donahoe entitled this initiative the "Consumer Direct Acceleration" (CDA), and he described the goals in the fourth-quarter conference call on June 25. The CDA is meant to increase Nike's digital penetration to 50% and build deeper relationships with consumers while creating a seamless, connected digital and in-store marketplace.
NIKE, Inc. (NYSE:NKE) announced a series of senior leadership changes today supporting the company’s Consumer Direct Acceleration (CDA). The CDA, announced in June 2020, is a new digitally empowered phase of NIKE’s strategy to unlock long-term growth and profitability. The CDA will create a more premium, consistent and seamless consumer experience across NIKE’s owned and strategic partner ecosystem, align around a new simpler consumer construct and also unify investments in an end-to-end technology foundation to accelerate our digital transformation.*
What trends should we look for it we want to identify stocks that can multiply in value over the long term? Firstly...
A little over a year has passed since Cowen Equity Research classified sneakers as an emerging alternative asset class. Since then, sneakers have not only emerged, but the market itself shows no signs of slowing. Cowen believes that the sneaker resale market could potentially reach $30 billion by 2030.
(Bloomberg) -- Microsoft Corp. said the first investment for its $1 billion climate fund will be in venture capital firm Energy Impact Partners. The software maker also joined with Nike Inc., Starbucks Corp., Unilever NV and Danone SA in a new consortium devoted to sharing resources and tactics for slashing carbon emissions, bringing together the efforts of some of the biggest global companies that have pledged to take action against climate change. The software giant’s $50 million investment will bolster the VC firm's backing of new technologies for greener energy and transportation systems. New York-based EIP, a utility-company backed fund with $1.2 billion in assets under management, has invested in companies that make software for improving underlying energy networks and in Urbint, an artificial intelligence company that has a technology for preventing methane leaks. Microsoft announced in January that it plans to be carbon negative — removing more carbon dioxide from the atmosphere than it emits — by 2030, and the software maker allocated $1 billion to a climate-innovation fund to invest in ways to reduce and remove carbon emissions, one of the most aggressive corporate plans. By 2050, the company plans to remove the equivalent of all of its emissions since Microsoft’s founding in 1975. Amazon.com Inc. has also made a carbon-neutral pledge and recruited other companies to join. Both technology giants have come under fire from climate activists for continuing to provide cloud-computing services to large oil and gas producers. The company’s funding isn’t enough — more players and investments are needed, said Chief Environmental Officer Lucas Joppa in a speech Tuesday at a Bloomberg Green event. “We need additional applied research funding,” he said. Microsoft, which is looking to remove 1 million metric tons of carbon from the atmosphere in the 12 months that began July 1, is most interested in techniques that are permanent or long-lasting. It’s less interested in methods that require complicated accounting, Joppa said. Redmond, Washington-based Microsoft also said it will partner with Sol Systems, a renewable energy developer and investor, on 500 megawatts of solar energy, Microsoft’s biggest renewable-energy portfolio investment. That will include at least $50 million in investments in parts of the U.S. most impacted by environmental issues— regions hurt by pollution, for example. Projects will prioritize businesses owned by women and minorities and will include money for jobs and skills training and habitat restoration. That amount of solar energy is enough to power about 95,000 homes, according to the Solar Energy Industries Association.The group, called Transform to Net Zero, also includes automaker Mercedes-Benz AG; Danish shipping giant A.P. Moller-Maersk A/S; Indian information-tech firm Wipro Ltd; and Natura & Co., the Brazilian cosmetics firm that owns Avon. The alliance, which plans to recruit other members, will work with the nonprofit Environmental Defense Fund and will share information on cutting emissions, investing in carbon-reduction technology and coordinating on public policy goals.In addition, Microsoft will stop using diesel in its data centers by 2030. The fuel is typically used as a backup power source for cloud data centers.(Updates with Microsoft comments in the fourth paragraph. An earlier version corrected the name of the industry group in the fifth paragraph.)For more articles like this, please visit us at bloomberg.comSubscribe now to stay ahead with the most trusted business news source.©2020 Bloomberg L.P.
Called "Transform to Net Zero", the group plans to recruit other members and will work with the Environmental Defense Fund and focus on delivering guidance, research and blueprints for businesses to achieve zero carbon emissions no later than 2050. The announcement gave no details of any investment the companies would make, outlining only initial research and other work to be completed over the next five years.
Adidas (OTC: ADDY.Y) (OTC: ADDDF) may not get as much attention from U.S. investors as Nike or Under Armour, but it deserves to be on your radar. The company is a dominant force in the global athletic apparel industry. Over the last five years, Adidas stock climbed 260%, more than tripling the return of Nike, even after the recent sell-off over COVID-19.