Nike sinks 10% after it slashes sales outlook, unveils $2 billion in cost cuts
Nike on Thursday unveiled plans to cut costs by about $2 billion over the next three years as it lowered its sales outlook. Nike now expects full-year reported revenue to grow approximately 1%, compared to a prior outlook of up mid-single digits. In the current quarter, which includes the second half of the holiday shopping season, Nike expects reported revenue to be slightly negative as it laps tough prior year comparisons, and sales to be up low single digits in the fourth quarter. Below details by App Economy Insigths: $NKE Nike Q2 FY24 (ending Nov. 2023). • Revenue +1% Y/Y to $13.4B ($40M miss). • EPS $1.03 ($0.18 beat). • Inventory -14% Y/Y to $8.0B. • Direct sales +6% Y/Y to $5.7B. • New restructuring to cost ~$0.4B. • FY24 revised revenue outlook +1% Y/Y. Source: App Economy Insigths, CNBC
Goldilocks continue with economic data (in red) remaining sluggish and financial conditions (in green) dramatically 'loosening'...
Source: www.zerohedge.com, Bloomberg
Tencent's stock crashes 16% in minutes after Beijing released draft guidelines aimed at curbing incentives that could lead to excessive gaming and spending
Tencent is China's largest public company and the drop erased ~$55 billion of market cap. This also marks the biggest one-day drop for the company since 2008. Note that NetEase sank by as much as 28% to HK$117.30, breaking briefly below a key technical support offered by a February low at around HK$120.70. In mid-afternoon trade, NetEase shares pared losses to trade down about 20% at HK$129. Source: The Kobeissi Letter, CNBC
The probability of a Fed rate cut in March 2024 has jumped up to 83%. A month ago the odds were only 29%.
Source: Charlie Bilello
Ocean Freight
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mindset
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Buffett. Lynch. Munger. Fischer.
All of these investing legends use checklists. Source: Brian Feroldi
Bond trade looks a bit crowded: Record 62% of Fund Managers polled by BofA in December expect bond yields to be lower in 12 months’ time.
Source: BofA, HolgerZ
