CNBC's "Fast Money" Nike on the Move After Earnings, and What Drove Yesterday’s Sell-Off 12/21/23
Dec 21, 2023
Nike's earnings report and shift to higher margin business, analysis of big cap growth trade and concentration in the MAG 7, Apple's underperformance and questioning its growth, Apple's current state in the smartphone market, valuation discussion and concentration concerns, Micron's earnings and AI potential, discussion on stocks and final trades
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Nike's concerning North American Sales
- Nike's North American sales are down 3.5% year over year, which is concerning given that it makes up 45% of their revenue.
- The company announced a $2 billion cost savings plan, signaling potential market headwinds.
Nike's Inventory Management
- Nike's shrinking inventory, while positive for margins, raises questions about when they anticipated the sales slowdown.
- Good inventory management may indicate awareness of softening demand during the quarter.
Nike's Website Experience
- Dan Nathanson found Nike's website overwhelming with too many product options, leading him to abandon his purchase.
- This highlights a potential area for improvement in Nike's e-commerce strategy.