In May 2024, we analyzed Nike. This was what we wrote in our conclusion:

“Nike operates in the premium segment and has a strong brand name, but beyond this, it does not have a strong moat. The success of the company and the share price rely heavily on the strong brand name, making the company very vulnerable.”

Although the stock was already down 45% from its ATH, we decided not to buy: “Even with the significant drop in the stock price, I do not find this company interesting enough to buy.”

-50% since then.

We don’t share this to pat ourselves on the back; we share it because it reflects how we viewed (and still view) premium retailers such as Nike.

$NKE