It all seems too odd to me. Nothing about the stock or the company is lacking. 2024 is the largest Ad campaign ever for Nike. Such A Global leader in business. Looks like a huge over correction with a whole lot of talking heads bashing Nike to keep it down. While revenue hasnt really dropped. These forecasts seem like a ploy or a decoy for something way bigger. I would like to hear some real opinions not canned Nike hate or Hoka better BS. Nike markets to 8 billion+ people. Does anyone think Nike is appearing weak to sweep market share from its competitors? Because in all honesty just the range of products and sponsored athletes and others. 2024 is going to be one of the biggest sports years ever with sports betting, all the new sports added to Olympics this year. Nike touches all athletics and a nice chunk of casual wear.
Why the mainstream hate for Nike
byu/KinseyVapor inwallstreetbets
Posted by KinseyVapor
31 Comments
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Might be the sweatshops? People have choices now, and it’s more and more possible to vote with your dollar.
It was overvalued, and underperformed while projecting future underperformance. I don’t see a ton of negative sentiment, I just see people holding bags.
Falling sales is an interesting way to describe as “nothing is lacking” bro
I’m not going to spend 40$+ on some plain ass tshirt w/a bigass billboard sign of nike.
They should be paying me $40+ to wear their ads
Nike got a ton of cash, my theory is that instead of upping the dividend they put out weak guidance as they planning to spend the cash on buybacks instead.
Last quarter was their lowest buyback yet, so assuming this lower price point fits into an upcoming/existing buyback strategy.
Fashion trends and fitness lifestyle apparel phasing out.
Slave labor.
Nike is under pressure. Sales are declining because there is tons of new brands around. Lululemon, Gymshark, teveo dominate gym and workout culture. Traditional sports like football, American football, basketball and track and field are still dominated by Nike but they have been for a while.
To have a high stock price you need to show growth. And Nike isn’t showing, that’s all you need to know.
I went to a Nike store the other day really in need of some new workout clothes, and I walked out without buying a single thing. Everything in there was such shit quality compared to just a couple years ago. Even their Olympic apparel was just straight shit. Like Fanatics base level shit.
Im a reseller and a jogger which comes into play:
1. Nike has stopped putting out hyped in-demand shoes that sell out, minus a couple shoes like travis scott collabs. This is night and day to how they were several years ago. Please look at most nike releases, they dont sell out anymore and just sit online.
2. Nike relies heavily on its catalog of retro styles. You can only churn out so many retros before everyone that wanted/wants a pair already owns them. Now the market is so flooded that if the new generation of kids wants a retro, the market is flooded enough that you can buy it cheaper on resale than if you bought it from nike or a store.
3. From a running perspective, Nike doesnt make good running shoes except its top tier Alpha Fly 3 and maybe vapor Fly 3. Thats it. Nikes competitors are running circles around them in most every other running shoe category including daily trainer, max cushion, etc. Nike is never in a conversation for best running shoes except the Alpha Fly 3/Vapor Fly 3, which are very niche shoes.
Nike shoes have fallen off bad from demand perspective
What is their last innovation. What are you actually buying other than a logo
I may be out of touch with the two youngest generations but it doesn’t seem to have the brand loyalty as the Jordan era when every kid had to have them.
Market share seems to be evolving to Hoka and other brands perceived to be just as “cool.”
Of course if anyone can reinvent themselves, it’s an innovative cash rich company like NKE so maybe pick your spots and invest slowly
People will try to explain why the company’s business or questions on future forecast is the reason. Or labor or product or wokeness or whatever.
Wall Street made a bear of the company. When they decide to make it a bull again those who are long the stock will make money.
You either go with the flow or against the grain.
Future outlook is bleak.
You’re too regarded to look at financials and fundamentals. Everything you said is an opinion.
Every pair of Nikes I’ve bought my children over the last year have fallen apart within a month.
Their product is shit.
The current CEO destroyed the company’s moat by flooding the market with dunks, jordans and air maxes. He has to be replaced with someone with a new idea or the stock will continue going down till its nothing. These three products appeal to the boomers and Gen Xs and command the highest margins and brand loyalty, and its now all gone down the drain.
OP works for Nike
I believe this is the first time ever Nike has slipped from the top in terms of popularity. Thats a big deal for a legacy company.
“Nothing about the company is lacking.”
If you really think that buy some shares or calls and post your losses here in a few months!
Bag holder spotted.
I have a few reasons
* Quality is extremely bad for the price
* Their artificial hype around limited releases no longer interests people, as they can’t get them
* Resellers sucked all value and fun out of interesting releases
* Dogshit performance wear and equipment in comparison to other sporting and athletic brands
* Too much competition, can no longer rely on their brand name to carry them through when everyone else is doing something interesting at a higher quality level
* More focused on releasing a new shoe every year in performance sector, often pissing off pros due to lack of consistency and no longer being able to use a shoe that suited them
* Just unfashionable now, took their market position for granted
* Nike Dunks look and feel like rental bowling shoes
I’m holding a shitload of NKE LEAPS calls (see comment history if you must know) but to be clear it is NOT talking heads keeping it down but the -10% revenue guidance leadership gave for the next two quarters. Despite CRUSHING earnings per share and having great cash flow, Wall Street is not interested in companies showing deep value but rather a clear pattern of growth. In my mind this play is all about 2 possible outcomes to the upside:
1. They change management (they should) and get a CEO that Wall Street adores and will reward handsomely.
2. They still have a sticky, profitable business capable of global distribution and should be able to copy the upstart competitors and crowd them out over time.
Smart money is selling puts or buying shares, I am hoping 1 or 2 occur within 1.5-2 years and applying regarded leverage.
I see the Nike Clearance Store being packed every time. Seems like the perfect time to buy Nike
Nike is just like that other iconic American brand McDonalds… It’s has gotten away with selling an overpriced inferior products for decades based solely on brand recognition and that ship has sailed not just in the U.S. but globally as consumers worldwide are becoming increasingly cost conscious do to inflation.
Nike‘s product range is lacking innovation, which was always what made them stand out. They‘re losing significant market share in running to brands like On & Hoka. In lifestyle their success is limited to very few models – essentially it‘s Air Force 1s, Dunks & Jordan 1s and Retros. All of these have declined in sales over the past month, while Adidas has a strong moment in the lifestyle space especially in Europe and Asia, New Balance is rapidly growing in the lifestyle running sneaker space, Asics is coming back, Hoka, On, Uggs & Crocs are brands that are growing in lifestyle as well…Nike fired lots of creatives and replaced them with consultants and this is what you get.
There are better running show brands out there.
Nike’s running shoes suck.
Do you live under a rock? People are wearing other brands in their daily life. Nobody needs ultra performance basketball shoes while going to the grocery store
Look at the new Chinese market for Nike. The Olympic sponsors for the Chinese team isn’t NIKE.
Air wasn’t a really good movie.