Nike posted its fiscal third quarter earnings that surpassed analysts’ expectations, on the back of solid demand in its North American market. The sneaker giant’s earnings for the quarter came in at 87 cents per share, well above the 71 cents expected by analysts polled by Refinitiv. Revenue rose +5% year-over-year to $10.87 billion in the quarter, beating the $10.59 billion expected. Nike...

On Thursday, Nike reported fiscal fourth-quarter earnings that surpassed analysts’ expectations, on the back of record revenue in North America.

The sneaker maker’s earnings came in at 93 cents, crushing the  51 cents expected by analysts polled by Refinitiv.

Revenue rose to $12.34 billion from $6.31 billion a year earlier, exceeding estimates for $11.01 billion.“Building on our 40-year history in Greater China, we continue to invest in serving consumers with the best products Nike has to offer in locally relevant ways,” CFO Matt Friend said during a post-earnings conference call.

For fiscal year 2022, Nike is projecting revenue to grow a low double-digit percentage, and to exceed $50 billion.

Sneaker giant Nike reported third-quarter earnings that topped analysts’ expectations. However, sales was hurt by port congestion in the U.S. and store closures in Europe. Adjusted earnings for the quarter came in at 90 cents per share, compared to 76 cents expected by analysts polled by Refinitiv. Revenue increased to $10.36 billion from the year-ago quarter’s $10.1 billion; analysts...

Shares of sneaker giant Nike Inc. climbed to an all-time high Monday, following the release of its  stronger-than-expected quarterly earnings.

Thanks to strength in online sales, Nike’s earnings for the 3 months ending November came in at.78 cents(up from 70 cents a share a year earlier), beating the 62 cents expected by analysts polled by Refinitiv.

Revenue grew +9% year-over-year to $11.24 billion, also topping analysts’ forecast of $10.56 billion.

The company’s  online sales for its namesake brand surged +84% during the quarter, as more people frequented  its website during the coronavirus pandemic.According to the company, digital sales growth helped to offset declines in its own brick-and-mortar stores and at its wholesale partners .

 Nike was allocating investments toward its own stores, websites, and key wholesale partners, and therefore reducing dependence on retail partner – even before the pandemic struck.

 

Marijuana company Aphria  reported a fiscal-fourth-quarter loss amid the coronavirus pandemic. For the quarter ended May 31, the Canadian  company experienced a loss of -C$98.8 million (US$74 million), or -39 Canadian cents a share, compared to FactSet analyst consensus called for a loss of -3 cents a share.In the year-ago quarter, profit came in at C$15.8 million, or 5 cents a share. Revenue rose +18% year-over-year to C$152.2 million in the latest quarter.Million. The average selling price of adult-use cannabis, before excise tax, fell 4.4% to $5.23 a gram from $5.47, primarily due to a change in sales mix and price reductions in key markets to solidify market share, according to Aphria. According to Tickeron, APHA's Aroon indicator reaches into Uptrend on July 28, 2020 For traders, this could mean going long on the ticker or exploring call options in the next month.

Nike is planning job cuts that is estimated to lead to $200 million to $250 million in one-time employee termination costs, as the company focuses on a strategy shift. The athletic clothing and footwear company had announced in June a new strategy in its e-commerce push called the Consumer Direct Acceleration, amid conronavirus pandemic-induced consumer shift from brick and mortar stores to online shopping. While Nike did not specify the number of job cuts, it did say the online push was “expected to lead to a net loss of jobs across the company," resulting in the one-time charge. Last quarter, Nike’s e-commerce sales grew +75% even as overall revenue fell. Tickeron analysis shows that NKE's price moved above its 50-day Moving Average on July 21, 2020 This price move indicates a change in the trend, and may be a buy signal for investors.In 34 of 42 cases where NKE's price crossed above its 50-day Moving Average, its price rose further within the subsequent month.

And now, Wesco has upped its offer price to $93.50 a share. Wesco Chairman, President, and CEO John Engel indicated that the proposal to acquire Anxiter is a solid opportunity to deliver significant and immediate value to Anixter's stockholders.The filing said that the $90-a-share offer still contained significant risks, including the probability for major antitrust scrutiny in certain jurisdictions, including the U.S. and Canada, which could potentially delay the closing date  for the deal.

However, the athletic footwear/apparel maker’s  gross-margin fell shy of estimates, partly due to U.S.-China tariff war. For its fiscal second quarter, Nike’s earnings came in at 70 cents a share,  which exceeded analysts’ forecasts of 58 cents a share.The figure was alo higher than the year-ago quarter’s  52 cents . Sales climbed +10% to $10.32 billion, compared to analysts’ estimates of $10.09 billion. The company achieved its first-ever billion-dollar quarter, on the back of strong market for limited-edition Jordan sneakers as well as interest in other brands including women’s soccer. Nike’s gross margin increased 20 basis points year-over-year to 44% in the quarter, missing analysts' estimates of 44.1%.

Walvis  also raised her price target to $112 from $95. According to Walvis, a bottom-up analysis led the team to believe that  Nike’s revenue growth in China could be in  high-teens digits.Direct-to-consumer is the biggest driver, reaching 50% of the region’s revenue on the analyst’s estimates by 2023. “Chinese activewear market will deliver double-digit growth," Walvis said.

Nike is focusing more on boosting its own online platform instead. The news comes just ahead of one of the biggest holiday shopping seasons, and marks the end of a pilot program that started in 2017.Under the pilot program, Nike acted as a wholesaler to Amazon, instead of selling via third-party merchants. “As part of Nike’s focus on elevating consumer experiences through more direct, personal relationships, we have made the decision to complete our current pilot with Amazon Retail,” Nike said in a statement.

Nike shares climbed after-hours ,following its report of earnings and revenue that surpassed analyst expectations. The sports footwear &apparel maker’s fiscal-first-quarter earnings came in at 86 cents a share, beating  analysts’ estimates of 70 cents a share.The figure was also higher than the year-ago quarter’s 67 cents. Revenue increased +7% year-over-year in the quarter to $10.66 billion, compared to analysts’ expectation of  $10.44 billion.  Revenue growth in China surged +22% to $1.68 billion, thereby exceeding analyst expectations. Chief Financial Officer Andy Campion emphasized that even amidst volatile macroeconomic and geopolitical conditions,  Nike expects “strong, broad-based growth” across its global portfolio.

Casual shoe manufacturer Crocs (Nasdaq: CROX) has not been participating in the 2019 rally, at least it hasn’t up until now.The indicators have since turned lower and made a bearish crossover on June 11. The Tickeron Trend Prediction Engine generated a bearish signal for Crocs on June 10 and the signal showed a confidence level of 75%.

Nike reported lower-than-expected earnings for its fiscal fourth quarter, but beat estimates on sales. The footwear/sportswear behemoth’s adjusted earnings for the three months ending in May came in at 62 cents per share, falling short of the Street estimates of 66 cents.Sales from the Nike brand, which excludes Converse merchandise, climbed +10% from the same quarter last year to $9.7 billion. The company said that its profit margins were squeezed during the quarter in part due to investments needed to sell more directly to consumers and less through wholesalers. In fiscal 2019, Nike’s revenues from its direct-to-consumer division touched $11.8 billion, thanks in large part to a +35% surge in online sales and a +6% jump in same-store sales , according to the company.  

Analyst Rafe Jadrosich also upped his price target to $180 from $150. In a note to investors, Jadrosich mentioned earnings per share growth opportunity from Decker’s share buybacks, and low-to-mid single digit revenue growth (largely driven by the company’s HOKA brand) as factors behind the analyst’s optimism.According to the analyst, HOKA is expected to grow +40% in fiscal year 2019, thanks to new product offerings and market share gains in the running specialty segment.  Jadrosich  believes that gross margin of Decker’s brand UGG could be at its peak, and that there is operating margin opportunity from cost savings and improving HOKA margins.

Over 170 shoe retailers including major ones like Nike (NKE), Under Armour (UAA), Adidas, Foot Locker (FL), Ugg, and Off Broadway Shoe Warehouse have sent a letter requesting President Donald Trump to consider removing the additional tariff on footwear imported from China. The request follows the release of a fresh list of about $300 billion in Chinese goods on which 25% tariff would be added if Trump decides to prolong the U.S.-China trade dispute.The list includes every aspect of footwear-from sneakers to sandals, golf shoes, rain boots, and ski shoes. The Footwear Distributors and Retailers of America (FDRA) has estimated a loss of more than $7 billion each year for the shoe industry if the tariffs are imposed and continued. According to FDRA, a popular type of canvas “skate” sneaker, currently retailing for $49.99, with a 25% tariff, could increase to $65.57.

Shares of Deckers have overall rose more than 4% to around $144 per share, with the stock generally rallying about 45% during the course of past year. The shoe line is gaining fast popularity among youngsters who now prefer to wear running shoes not just to the gym but all-day.Further, its partnerships with upcoming retailers like Engineered Garments and Outdoor Voices have also added visibility of the product to millennials. Recently rapper Kanye West was spotted wearing a Hoka boot and the image raked up online sales to another level.

Adidas reported a 17% rise in first-quarter net profit on Friday, even as sales growth slowed as it suffered from supply chain issues in the North American market it had already flagged, as well as a decline in Europe. Read More...

Shares of footwear company Skechers (NYSE:SKX) slumped on Thursday following a first-quarter report that left investors wanting more.A combination of unfavorable currency translation effects, the timing of the Easter holiday, and what CFO John Vandemore called "challenging conditions" led to weak revenue growth that missed expectations. Read More...

The company also warned that revenue growth could slow during the fourth and current quarter. The shares of the sneaker giant closed on Thursday at record high of $88.01, after climbing more than 32% over the past 12 months. Andy Campion, Oregon-based Nike’s CFO, told analysts on Thursday evening that it expects sales during its fiscal fourth quarter will be up a high-single-digit rate, on a constant currency basis.But currency headwinds are expected to reduce that growth by about 6 percentage points, therefore resulting in low-single-digit gains compared with a year ago. For the quarter ending on February 28, the company reported an EPS of $0.68 versus an EPS estimate of $0.65.

Nike’s domestic business apparently continues to feel pressure from rival companies like Under Armour, Adidas and Vans. Growth in international sales fared better.Sales grew +14% in Asia Pacific and Latin America. According to Nike, its revenue from Converse shoes declined -2% year-over-year to $463 million, largely due to softening sales in the U.S. and Europe. Nevertheless, the company’s total adjusted earnings of 68 cents per share surpassed analysts’ estimates of 65 cents per share (based on Refinitiv data).