For decades, Nike has been the top sports gear manufacturer, sponsoring every major sporting event, from the tennis Open Cup, to the National Basketball Association (NBA), to the Olympic Games.
The high demand for Nikes shoes and apparel means that despite the increase in cost has little to no effect on its popularity, and competitors such as Adidas and Puma are just not match for them. Today, the Oregon-based company has just proven to its competitors that it won¡¯t be going away any time soon. In fact, it is doing so well that according to Yahoo7, Nike profit has just increased to a whopping 3 per cent in its second-quarter.
According to Yahoo7, it has been reported that Nike has profited a total of $US469 million (or $A475.64 million) in its second-quarter which ended on November 30th, a huge increase from the former quarter¡¯s $US457 million. This means that Nike shares have increased from a market price of 94 cents per share to $1 per share, beating analyst expectations of 97 cents per share. Right now, Nike¡¯s total revenue is standing on $US5.73 billion.
For those seeking a long term investment, Nike may be a viable option. Not only is it evident that the corporate giant is profiting more than most athletics¡¯ apparel combined, but it is slowly, but surely and steadily increasing in its market share. This makes it a safe bet for slow revenue from purchasing its market shares as a long term investment.
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