Who Will Be The Investor'S Mind, Adidas, Nike And Andrew?

Adidas (Adidas), Nike (NIKE) and Andemar (Under Armour) are the three largest retailers in the competitive sportswear industry.

Each company occupies an impressive market share in this continuously developing and innovative industry.

Adidas

Adidas is headquartered in heto, Germany, and is trading in the US Depositary Receipts (ADR) in the United States.

As ADR, Adidas makes it easier for US investors to buy shares of the company.

As of April 2019, the market value of the company was close to $49 billion 400 million, and in 2018 it was $25 billion 900 million in 12 months.

In April 2019, the stock price was $124 per share, and the P / E ratio (P / E) exceeded 25.

The dividend yield of the company is about 1.5%.

Adidas has a more mature market in European countries.

Adidas group also has another two widely recognized track and field sports brands: Reebok and TaylorMade.

Although Adidas was originally known as a football brand, its ownership of these other brands made it a pluralistic participant in sportswear and commodity markets.

Adidas expects to increase its revenue by 15% annually by 2020.

It plans to achieve this growth by investing in improving the speed of new product listing and enabling companies to adapt to market demand faster.

Strategically, the company hopes for the growing global urban population.

Nike

Nike is the largest company in the three companies, perhaps the most famous brand company.

Nike headquarters is located in Beaverton, Oregon. By the end of February 2019, its market capitalization was about $132 billion 600 million, and sales in 2018 exceeded $38 billion 700 million in 12 months.

As of March 2019, Nike's share price was $84, with a P / E ratio of 32.9.

The dividend yield is 1%.

Nike dominates the world, especially its largest market share in the North American sportswear industry.

In recent years, the company has made significant efforts to restore public negative views on labour practices in emerging markets.

Nike sells most of its products with Nike brand, but it also has smaller niche brands, such as Jordan and CONVERSE.

The company plans to substantially increase direct sales and e-commerce revenues in developed markets.

The company also noted the huge growth opportunities of China and its female focused product line.

Andrea

Andemar was the youngest of three stocks and was listed in 2005.

Although the company's growth in the past ten years is very significant, it is the smallest of the three companies.

As of December 2018, the market value of Under Armour was about 8 billion 540 million dollars, and the income of 218 years and 12 months was 5 billion 190 million dollars.

At the beginning of April 2019, the P / E ratio was about $21 per share, with a P / E ratio of about 81.

As a young growth company, the stock does not pay dividends at present.

Andemar's growth in income and net income since the initial public offering (IPO) has increased exponentially, and the sharp rise in stock prices has brought huge returns to early investors.

Starting from a niche in the US football market, it is known for its sales of moisture absorption and sweating clothing. The company has been looking for ways to enter the products of these medium rare markets.

It tends to attract young market segments, and its product prices often reflect their innovative materials and design quality.

Compared with the scale of Nike, Andrea seems to have great room for development.

Andrew predicts that sales of footwear will increase significantly, while additional revenue from direct sales to consumers will also increase.

The company will continue to enter the new market, and recently hired a talented team to launch a plan to enter the outdoor performance apparel market.

Despite its high expectations, recent historical experience shows that Andrew's success is very difficult.

Competition situation

Nike is a giant in the industry, and is also the most serious loss.

But the company's growth forecast is still positive.

Competitors like Andemar will continue to innovate and try to grab market share from Nike. The younger generation of buyers may show a preference for niche brands, which can be easily acquired through online shopping.

Adidas has a place in the domestic and overseas market, and it has significant brand loyalty compared with its competitors.

However, the company has not promoted its sponsorship of high-level athletes, which may damage its perceived value compared with the other two companies.

There is no doubt that Andemar will be attacked in the next few years.

It pays high sponsorship fees for world-class athletes of all major sports, which will continue to maintain its awareness of some of the highest performance, latest and most innovative clothing products.

Andemar also bought several fitness App Co, which is seeking to integrate mobile technology to consolidate its brand.

How to invest in the stock of these companies in 2019?

Despite the stability, scale and growth of Nike's performance, investors should avoid investing in Nike in 2019.

Nike is a mature company whose stock price has reached a record high.

These stock prices seem to reflect their positive growth targets.

But if any of these goals waver, there will be a correction of stock prices.

Although Adidas is also a mature clothing company, its pricing seems attractive in 2019.

Its P / E ratio is more reasonable, and it has more advantages than Nike.

Adidas is unlikely to experience exponential growth in stock prices, but at present it seems to be a good investment in 2019.

Andemar will enter the stage of pure growth after entering 2019.

The company will invest heavily in supporting key areas of the brand in the next few years.

Although a few years ago it was better to buy, there was still much room for improvement in stock prices.