Adidas and Nike: Which one won in 2024?

In 2024, Nike struggles with low sales projections, declining digital revenue, and inventory issues, causing a 31.71% drop in its stock. Meanwhile, Adidas thrives with popular retro sneakers and robust earnings, leading to a 30.12% stock surge. Key investment opportunities exist for both brands.
Why is Nike struggling while Adidas thrives in 2024?
Nike and Adidas have been on two very contrasting journeys in the stock market in 2024. According to reports, the former’s stock dropped sharply while it registered poor sales projections, fell in its digital revenue, and had some inventory issues. This made the stock of the company fall as much as 31.71% year-to-date. Conversely, the stock of Adidas soared based on the immense popularity of the retro sneakers combined with robust earnings reports. Its stock surged 30.12%.
The problems with Nike were then further exacerbated through the strong emphasis on online trade and significant shortcomings in China. Conversely, Adidas was able to use product innovation and excellent marketing strategies to instill optimism in the investors. Despite being at a low point, under-valued shares and market position make Nike a good investment consideration.