History of the Company
Nike is the largest producer of athletic apparel and shoes. The Nike brand is instantly recognizable worldwide, especially the Swoosh logo and the “Just Do It” slogan. The company was founded in Oregon in 1964 as Blue Ribbon Sports; the name was later changed to Nike in 1971. The company went public in December 1980.
In 1984, basketball player Michael Jordan signed an endorsement contract and Nike released the first model of the Air Jordan athletic shoe. The NBA banned the shoe, and the Air Jordan became a catalyst for Nike’s rise to success.
Today Nike produces a wide range of products, including shoes for running, tennis, golf, and skateboarding and running apparel. Nike also owns Hurley International and Converse, operates Niketown retail stores, and sponsors many well-known athletes and sports teams to gain brand recognition.
Trading Nike: What You Need to Know
- Nike’s annual report and its quarterly earnings reports provide great insights into the future performance of the company and the right times to buy and sell.
- Marketing, advertising, and endorsements play heavily into Nike’s success. Nike enlists top athletes to use their products and advertise for their brand. The right endorsement deal at the right time can directly affect prices, so traders should stay updated on news from the company.
- World sporting events such as the FIFA World Cup and the Olympics present huge opportunities for Nike to promote its brand and products and benefit from endorsements and advertising. Traders should look for price movements during any major world sporting event.
- Nike’s new product lines and innovations play a role in driving sales. An anticipated product release that performs better than expected will likely send prices higher, while disappointing sales may have an opposite effect.
- The performance of Nike’s main competitors (such as Adidas) will also affect Nike’s stock prices. If competitors’ sales rise or fall as well, it could signal a change in consumer demand.
Anyone who wants to trade Nike stock should carefully research the company and perform an analysis before trading.Trade Nike