Today’s Bloomberg piece on Nike (NKE) is another take on the $50 billion sales goal for 2020 (I have also written about it here). Nike’s management will most likely revise this goal during its investor day, tomorrow.
The main problems affecting Nike are the high expectations generated by the management team, back in 2015, and the disruption in retail being provoked by Amazon (AMZN) and other online retailers.
The stock price has been under pressure, but it still looks probable that the company will be capable of turning things around. Its brand still holds enormous value, while its retail strategy is not bad at all.
Photo credit: Alan Nakkash