1Semana·

21.03.2025

Nike exceeds forecasts despite declines + Fedex lowers business outlook + Micron Technology surprisingly optimistic about the third quarter + Xiaomi 2024 with record sales


Nike $NKE (-1,63 %)exceeds forecasts despite declines

  • The sporting goods giant Nike continues to struggle with declining sales even under a new boss.
  • In the third quarter (to the end of February) of the 2024/25 financial year, revenue fell by nine percent year-on-year to 11.3 billion US dollars (10.4 billion euros).
  • Nike thus slightly exceeded the expectations of analysts, who had expected an average of just over eleven billion dollars.
  • On balance, the quarterly profit fell by 32 percent to 794 million dollars.
  • However, Nike's earnings per share of 54 US cents clearly exceeded the analysts' forecast of 29 cents.
  • In an initial reaction, the share price rose by more than three percent in US after-hours trading.
  • One trigger for the decline in turnover was a slump in business in China.
  • In October, former top manager Elliott Hill returned to Nike from retirement to take over the top job.
  • Part of his predecessor John Donahoe's strategy was to focus more on direct sales.
  • The downside, however, was that the shelf space given up by Nike in stores was filled by products from competitors.
  • This made the rivals more visible to consumers.


Fedex $FDX (-3,56 %)lowers business outlook

  • Weak demand is making the US logistics group Fedex more cautious for the 2024/25 financial year, which runs until the end of May.
  • According to a statement issued on Thursday evening, Group CEO Raj Subramaniam now expects stable to slightly declining sales, after previously assuming a roughly stable development.
  • According to the manager, the revised outlook reflects the ongoing weakness and uncertainty in the US industry.
  • Demand for shipping services among business customers is suffering as a result.
  • Adjusted for special effects, earnings per share are expected to reach 18.00 to 18.60 US dollars instead of 19 to 20 dollars.
  • The average analyst estimate is above the upper end of the new target - and the rival of DHL Group and UPS now intends to invest less money in the business than previously planned.
  • In the third quarter of the past financial year, Fedex increased its turnover by a good two percent to 22.2 billion US dollars (20.4 billion euros).
  • Adjusted earnings per share grew by 17 percent to 4.51 dollars.
  • On average, analysts had expected slightly higher earnings per share.


Micron Technology $MU (-2,25 %)is surprisingly optimistic about the third quarter

  • The manufacturer of DRAM and NAND memory chips Micron Technology is more optimistic than expected about the current third financial quarter due to AI-driven demand from data center operators.
  • The company is also confident about demand from consumer electronics manufacturers.
  • Sales in the third financial quarter should therefore reach 8.80 billion US dollars plus/minus 200 million dollars, the company stated on Thursday evening after the US stock exchange closed.
  • Adjusted for special effects, earnings per share are expected to reach 1.57 dollars - plus or minus 10 cents.
  • The Micron share price rose by almost five percent in US after-hours trading.
  • The outlook could signal an upturn in demand from smartphone and PC manufacturers, which has been rather sluggish across the industry for some time.
  • During the coronavirus pandemic, these manufacturers had filled their warehouses as full as possible due to a shortage of parts, but were then left with excessively high inventories after the end of the pandemic, which first had to be reduced.
  • This also affected manufacturers of semiconductor wafers such as the German Siltronic Group.
  • The wafers are the starting product for computer chips.
  • In the second quarter (ending February 27), Micron increased its turnover by 38 percent year-on-year to 8.05 billion dollars (7.4 billion euros).
  • The bottom line profit doubled to just under 1.6 billion dollars.


Xiaomi $1810 (+6,52 %)2024 with record turnover of RMB 365.9 billion

  • Record year for Xiaomi
  • Total sales in 2024 increased by 35 percent to RMB 365.9 billion
  • Q4 over RMB 100 billion for the first time
  • Adjusted net profit grows by 41.3 percent to RMB 27.2 billion.
  • Strong growth in key areas: smartphone sales increase to RMB 191.8 billion (+21.8%)
  • Electric vehicles and new initiatives generate RMB 32.8 billion in sales
  • IoT and lifestyle products grow by 30% to RMB 104.1 billion
  • Successful push into the ultra-premium segment: Xiaomi 15 Ultra and SU7 Ultra with strong sales figures, secured orders for SU7 Ultra exceed 10,000 units - annual target achieved ahead of schedule.
  • Technological innovation and AI integration: R&D investments increase by 25.9% to RMB 24.1 billion, over 42,000 patents worldwide
  • HyperOS 2 strengthens networking and AI applications in the "Human x Car x Home" ecosystem.


Friday: Stock market dates, economic data, quarterly figures


  • ex-dividend of individual stocks
  • BB Biotech CHF 1.80
  • Walmart 0.24 USD


  • Quarterly figures / company dates Europe
  • 07:00 Fuchs annual result
  • 07:30 Salzgitter annual result
  • 10:00 Fuchs | Salzgitter PK
  • 11:00 Salzgitter Analysts' Conference
  • 12:00 Fuchs Analyst Conference
  • No time specified: BASF Annual Report


  • Economic data

01:50 JP: Nationwide consumer prices February Forecast: n/a previous: +4.0% yoy Core consumer prices (ex food) Forecast: n/a previous: +3.2% yoy

08:45 FR: Business Climate Index March PROGNOSE: 97 previous: 97

10:00 EU: ECB, current account euro area January

16:00 EU: Eurozone Consumer Confidence Index (flash estimate) March FORECAST: -13.0 previous: -13.6

Untimed: BE: EU Summit, Brussels

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13 Comentarios

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The current development at Nike is worrying. When can we expect a turnaround? Does an investment in this share still make sense at present? 🫡
5
@DividendenEinhorn I am still considering whether 60 euros is a good time to enter the market...
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@Nobody_123 I have now set a price alert at 57.
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@DividendenEinhorn Unfortunately, I'm already in it. Currently down 10%, but you can see that the market was expecting much less. I therefore believe that the dump will not last long. But let's keep watching. But I would add to the position.
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All analysts and Nike itself are saying that the turnaround will take several more quarters. It should not be forgotten that the improved earnings figures were only achieved through massive cost-cutting measures. This effect will not be repeated in the coming quarters. I therefore expect to see a positive development towards the end of the year at the earliest. That doesn't mean that it can't go up by 5-10% in between.
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@DividendenEinhorn bought adidas a good 2.5 years ago and have since sold it again. But I would still prefer adidas to Nike as an investment
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@DividendenEinhorn take a look at Anta Sports, same segment, better company
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1Semana
switch to adidas 😜
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Nike is boycotted just like Starbugs. I wouldn't buy it
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@CashflowG Really? I'll have to do some research
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My money is more likely to go to $DECK. I just have to take a look at the supply chain first. In my opinion, this analysis could be a game changer in the retail sector.
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My buy is 85€. I remain relaxed
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Rightly so. Not too expensive. 🫰 Consumption will continue to fall
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