A professional mainly active in sports equipment, the Nike Group ended 2015 with a very positive second quarter result. The latter posted an excellent net result, whereas investors had already prepared poor quarterly results
In addition, the figures announced are quite surprising insofar as the precariousness of the European economy, the economic slump in the United States and the stagnation of the Chinese economy are causing an obvious slowdown on the markets.
The latest results of the Nike Group
The latest figures released by the Nike Group are positive. Its net result is highly commendable. In any case, the group’s sales for the second quarter are lower than the amounts predicted by analysts. The latter’s calculations result in a result of nearly $7.81 billion while the actual figures show a result of $7.69 billion. Nevertheless, the group posted a profit of 4.1%.
Impact of the rise in the dollar
The multinational company Nike would have enjoyed higher profits than predicted, due in particular to a reduction in the tax rate. However, like several other large American firms, the group was disadvantaged by the rising dollar. Analysts have indeed reported that Nike sales would have increased by 12% if the greenback was stable.
Rising sales in the main markets
North America is Nike’s largest market. Thanks to sales in this area, sales increased by 10%. However, while there is a 10% increase in sales in this part of the world, they are less successful in other countries, with the exception of China, which recorded a significant increase in sales of 28%. And this phenomenon is particularly noticeable in relation to one article: these are pairs of shoes whose sales have shown incredible growth of 30%, with sales exceeding the $600 million mark.
With all this motivating data, a trader who knows how to smell good deals would be well suited to trading Nike shares (via binary options such as Binary Bank for example). But to do this, it is essential to choose a good broker, offering Nike shares for trading on its platform and, above all, operating in accordance with the prescribed rules for protecting traders’ information and money.