Stock FAQs

how good is adidas stock

by Lenny Nikolaus Published 2 years ago Updated 2 years ago
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Over the past 5 years, Adidas stock has been a much better investment as it rewarded shareholders with a 300% return compared to Nike with a 100% return. Adidas vs Nike stock price chart – Source: Bloomberg

Over the past 5 years, Adidas stock has been a much better investment as it rewarded shareholders with a 300% return compared to Nike with a 100% return.

Full Answer

What stock market is Adidas traded on?

The ratio between the ADR and the underlying ordinary shares is 2:1, meaning that two adidas AG ADRs are the equivalent of one adidas AG ordinary share. In the United States, adidas AG ADRs are traded on the OTCQX International Premier market, the highest over-the-counter market tier provided by OTC Markets Group, Inc. Trading information is ...

Why to invest in Adidas?

Thus, from a valuation perspective, Adidas is a much better investment than Nike. Further, from a debt perspective, both balance sheets look strong and I have no concerns for the companies. But, Adidas has also a better balance sheet.

What Stock Exchange is Adidas listed on?

The adidas AG share is listed on the "Deutsche Börse" stock exchange in Frankfurt. The ...

Where is Adidas stock traded?

The depositary bank’s roles are as follows:

  • Records and maintains the register of ADR holders,
  • Is the stock transfer agent,
  • Distributes dividends in US dollars,
  • Facilitates the voting process and the exercise of the voting rights of ADR holders at any Company General Meeting if permitted by the Company and the Depositary Agreement,
  • Issues and cancels adidas AG American Depositary Shares (ADSs),

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Is adidas a buy or sell?

adidas has received a consensus rating of Buy. The company's average rating score is 3.00, and is based on 2 buy ratings, no hold ratings, and no sell ratings.

Is adidas stock overvalued?

Because adidas AG is relatively overvalued, the long-term return of its stock is likely to be lower than its business growth, which is estimated to grow 2.51% annually over the next three to five years. Link: These companies may deliever higher future returns at reduced risk.

Why is adidas stock price down?

The German sportswear giant reported net profit of €310 million ($327 million) in the first three months of 2022, down 38% on the same period last year. The company said the decline was caused by a “challenging market environment” in China, where sales fell 35%, as well as supply chain disruptions.

Why are there 2 adidas stocks?

adidas AG ADRs, with the ticker symbol 'ADDYY,' are dollar-denominated securities backed by the shares trading in Germany. The ratio between the ADR and the underlying ordinary shares is 2:1, meaning that two adidas AG ADRs are the equivalent of one adidas AG ordinary share.

Is it smart to invest in adidas?

Adidas AG - Sell Its Value Score of B indicates it would be a good pick for value investors. The financial health and growth prospects of ADDYY, demonstrate its potential to outperform the market. It currently has a Growth Score of A.

Should I invest in Nike or adidas?

Adidas vs Nike stock investment comparison As both companies are keeping their market share stable while growing in line with market growth, I would say Adidas is the better investment for the long-term because it has a lower PE ratio, has much lower debt levels and is involved in much less financial engineering.

Why should I invest in adidas stock?

Management has a solid plan to deliver 17% growth, 55% higher than the company has ever experienced, and analysts expect closer to 30% growth. adidas is 20% undervalued, trading at 11.2X cash-adjusted earnings, and could potentially triple in the next 5 years.

Does Adidas stock pay dividends?

Adidas pays a dividend 1 times a year. The payment month is May. The dividend calendar shows you for more than 1,000 dividend stocks in which month which company distributes its dividends. Plan your passive income for the whole year.

What type of stock is Adidas?

adidas AG Share:adidas AG Share:Type of share:Registered no-par-value shareIPO:November 17, 1995Important Indices:DAX STOXX Europe 50 EURO STOXX 50 MSCI World Textiles, Apparel & Luxury Goods MSCI World ESG Leaders Index Deutsche Börse Prime Consumer FTSE4Good Index SeriesReuters Symbol:ADSGn.DE6 more rows

Can you buy stock in Yeezy?

Their $1.8 million public sale by Sotheby's smashed the previous record of $560,000, held by Michael Jordan's 1985 Air Jordan 1s. RARES, a fractional ownership platform specialising in valuable sneakers, will now allow fans to buy and trade shares in the iconic shoes.

What is a stock price of yeezys?

$ 86.78. -0.35 -0.40%

Is adidas traded on NYSE?

The athletic shoe and apparel space has four big publicly traded companies: Adidas, Nike (NYSE:NKE), Under Armour (NYSE:UAA), and Skechers (NYSE:SKX).

Should I buy or sell adidas stock right now?

21 Wall Street equities research analysts have issued "buy," "hold," and "sell" ratings for adidas in the last year. There are currently 3 sell rat...

What is adidas' stock price forecast for 2022?

21 analysts have issued 1 year price targets for adidas' shares. Their forecasts range from $190.00 to $348.00. On average, they predict adidas' sh...

How has adidas' stock price performed in 2022?

adidas' stock was trading at $144.00 at the beginning of the year. Since then, ADDYY stock has decreased by 35.9% and is now trading at $92.31. Vi...

Are investors shorting adidas?

adidas saw a increase in short interest during the month of May. As of May 31st, there was short interest totaling 4,600 shares, an increase of 2,2...

How were adidas' earnings last quarter?

adidas AG (OTCMKTS:ADDYY) posted its quarterly earnings results on Tuesday, March, 9th. The company reported $0.40 EPS for the quarter, meeting the...

How often does adidas pay dividends? What is the dividend yield for adidas?

adidas announced a dividend on Friday, May 13th. Stockholders of record on Monday, May 16th will be given a dividend of $1.2952 per share on Monday...

Is adidas a good dividend stock?

adidas(OTCMKTS:ADDYY) pays an annual dividend of $1.24 per share and currently has a dividend yield of 1.34%. The dividend payout ratio of adidas i...

What guidance has adidas issued on next quarter's earnings?

adidas issued an update on its FY 2022 earnings guidance on Monday, June, 6th. The company provided earnings per share (EPS) guidance of for the pe...

Who are adidas' key executives?

adidas' management team includes the following people: Mr. Kasper Bo Rorsted , CEO & Member of Exec. Board (Age 60, Pay $5.7M) Mr. Harm Ohlmeyer...

What is a strong weekly advance?

A strong weekly advance (especially when accompanied by increased volume) is a sought after metric for putting potential momentum stocks onto one's radar. Others will look for a pullback on the week as a good entry point, assuming the longer-term price changes (4 week, 12 weeks, etc.) are strong.

Does Zackstrade endorse or recommend investment strategies?

The web link between the two companies is not a solicitation or offer to invest in a particular security or type of security. ZacksTrade does not endorse or adopt any particular investment strategy, any analyst opinion/rating/report or any approach to evaluating indiv idual securities.

The German footwear giant has been struggling throughout the pandemic, but brighter days could be ahead

Adidas ( ADDYY 0.47% ) stock recently dropped after the German athletic footwear and apparel maker posted its third-quarter earnings.

OTC: ADDYY

Those headline numbers initially seem terrible, but could Adidas' stock still be worth buying if we look past its near-term pandemic headwinds?

A strong sequential recovery

Adidas' year-over-year growth rates look dismal, but its revenue actually grew 66% sequentially from the previous quarter. Its gross margin also held steady, despite enduring pressure from promotions and currency headwinds, and its operating profit returned to positive territory again with a double-digit operating margin:

But a second wave of infections could derail that recovery

For the fourth quarter, Adidas expects a "low to mid-single-digit" year-over-year revenue decline in constant currency terms. That guidance looks stable, but Adidas also warned that the new wave of COVID-19 infections already reduced its global store opening rate from 96% at the end of September to 93% in early November.

Looking beyond the COVID-19 crisis

Adidas' revenue and earnings will likely decline by the double digits this year, and it's difficult to tell if a second wave of COVID-19 infections will disrupt its recovery next year.

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How much sales does Adidas have in 2019?

Adidas has made it a priority to improve the speed at which a product moves from creation to the consumer. Net sales from speed-enabled products reached 47% of total sales in 2019, up from 37% in 2018. This is crucial as it allows Adidas to respond to customer demand very quickly, before a competitor beats it to the punch.

What is Adidas' goal?

The goal was to simplify operations to drive better performance at its two apparel brands (adidas and Reebok), extend its presence in North America, and strengthen its digital capabilities.

How much does a Yeezy cost?

A pair of Yeezys typically retails between $200 to $300 with many styles commanding even higher premiums on the secondary market.

What would happen if Adidas had been able to meet its 2020 guidance?

If Adidas had been able to meet its 2020 guidance, the annualized growth in revenue since 2015 would have been approximately 11%, and net income would have increased at a compound rate of 24% to 25%. That would have been stellar, and it's indicative of what Adidas is capable of once the economy recovers from COVID-19.

Which brand dominates the top selling sneakers?

Nike dominates the top-selling sneakers charts with its Air footwear platform and the popularity of the Jordan Brand. But that doesn't mean Adidas lacks the brand strength to compete effectively.

Is Adidas a good investment?

Adidas should remain a good investment. Any investor should feel comfortable owning shares of Adidas. The trend toward active lifestyles is not going away and should fuel long-term growth in the athletic apparel market.

Adidas stock predictions 2021 – dealing with lockdown

Adidas weathered the worst of the COVID-19 pandemic by increasing sales of its footwear by 31% during the first quarter of 2021.

ADS stock price forecast

Adidas’s growth during the first quarter of 2021 came from increasing sales of its footwear, which rose 31%.

Adidas stock forecast

Lockdowns due to the COVID-19 pandemic impacted on its store opening rate in Europe, which fell below 50% in March.

Adidas – selling Reebok and making watches with Timex

Adidas bought Reebok, which was founded in Bolton, UK, in 1958, for just over €3bn.

Adidas stock analysis – in need of more recovery

Even while lockdown eases and consumers opt to go back to the shops, the outlook for Adidas and the Adidas share price forecast will depend on how much of a march it can steal on its far bigger rival, Nike.

adidas (OTCMKTS:ADDYY) Price Target and Consensus Rating

MarketBeat calculates consensus analyst ratings for stocks using the most recent rating from each Wall Street analyst that has rated a stock within the last twelve months. Each analyst's rating is normalized to a standardized rating score of 1 (sell), 2 (hold), 3 (buy) or 4 (strong buy).

Analyst Price Target Consensus

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Analyst Ratings By Month

The chart below shows how a company's ratings by analysts have changed over time. Each bar represents the previous year of ratings for that month. Within each bar, the sell ratings are shown in red, the hold ratings are shown in yellow, the buy ratings are shown in green, and the strong buy ratings are shown in dark green.

Average Share Price and Price Target by Month

The chart below shows how a company's share price and consensus price target have changed over time. The dark blue line represents the company's actual price. The lighter blue line represents the stock's consensus price target.

adidas (OTCMKTS:ADDYY) Analyst Ratings Frequently Asked Questions

According to the issued ratings of 17 analysts in the last year, the consensus rating for adidas stock is Buy based on the current 1 sell rating, 6 hold ratings and 10 buy ratings for ADDYY. The average twelve-month price target for adidas is $320.00 with a high price target of $340.00 and a low price target of $300.00.

How many products does adidas make?

The adidas group has a truly worldwide reach; they design, produce, and sell over 900 million products per year around the globe, making them one of the most ubiquitous sportswear companies. With that, the company has grown in several directions.

What is Adidas Sport?

Adidas Sport: Brings technology, innovation, and design together to enhance athletes’ performance across all types of sport. You’ll find this gear on NCAA athletes, Olympians, amateur athletes, and fans. Adidas Originals: A lifestyle brand dedicated to looking sporty, comfortable, and staying on-trend.

What is the difference between Adidas Originals and NEO?

Adidas Originals: A lifestyle brand dedicated to looking sporty, comfortable, and staying on-trend. Adidas NEO: Built for and inspired by teenagers, Adidas NEO is a label that’s “all about being open and engaged with teenage consumers, letting them enjoy experiences only NEO can provide,” according to their website.

When was Adidas founded?

Here’s a brief timeline of the history of Adidas Group (OTC: ADDYY) and their stock. July 1924: Founded as Gebrüder Dassler Schuhfabrik in Herzogenaurach, Germany by brothers Adolf and Rudolf Dassler, where they produced spiked running shoes for athletes.

When did Adidas start making soccer balls?

They go on to win the 1954 World Cup final, making adidas a household name. 1970: Adidas starts making soccer balls, expanding their designs from shoes and apparel. September 6, 1978: Founder Adi Dassler passes away. He is replaced with his son Horst.

Who was the CEO of Adidas in 1992?

1992: Robert Louis-Dreyfus becomes the new CEO, giving the company life and a new direction. He remains as the CEO until 2001. November 17, 1995: Adidas goes public on the Frankfurt Stock Exchange. 1997: Adidas acquires Salomon, a ski-focused sports equipment company, for around $1 billion.

Does Benzinga recommend investing in stocks?

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How much debt does Nike have?

In addition to debt obligations, Nike also has $9.3 billion to pay in endorsement contracts for a total of $34 billion in future debt obligations. $34 billion in debt is approximately 10 years of earnings which tells me how Nike is continuing to play it risky on the financial engineering side.

Which brands have more likes on TikTok?

A recent UBS study on likes on TikTok found that up and coming brands like Prettylittlething, Fashion Nova, Shein and Gymshark had each more likes than Nike , Adidas, Lululemon, Skechers and Puma combined. Big brands are losing the Tiktok game.

What would happen if Nike had a bad year?

If Nike’s has a bad year, there could be a trifecta of bad impacts for shareholders: A much lower valuation due to lower growth estimations. Debt becomes an issue only when things turn for the worse. Other brands start to gain in market share.

What are the negatives of Nike?

If Nike’s has a bad year, there could be a trifecta of bad impacts for shareholders: 1 A much lower valuation due to lower growth estimations. 2 Debt becomes an issue only when things turn for the worse. 3 Other brands start to gain in market share.

Is Adidas faster than Nike?

Over the past 20 years, Adidas grew revenues faster than Nike but that is mostly thanks to the acquisition of Reebok in 2005. Since then, revenue growth has been somewhat similar, especially over the last 10 years. Nike and Adidas revenue comparison – Source: Annual reports. A very important note on revenues here.

Is Adidas stock better than Nike?

All in all, Adidas stock continues to be the better, safer investment when compared to Nike stock. To conclude, we life in a world of endless financial engineering so valuation metrics don’t mean much short term.

Is Addyy stock bullish?

The analysts are bullish on ADDYY stock due to its strong exposure to Greater China which has been a fast-growing market for both Adidas and Nike. The brokerage also liked the ESG initiatives of the company is optimistic about the upcoming sale of its Reebok brand.

Did Adidas buy Rebook?

Adidas had acquired Rebook brand 15 years back but has failed to turn around the business . The brand accounts for only about 7% of the consolidated sales now, down sharply from the 18% that it did in 2010.

Is Adidas optimistic about China?

Adidas management is optimistic about China. During the first-quarter earnings call, the management alluded to the boycott in China taking a toll on the sales. However, Rorsted is optimistic about the company’s future in China and expects strong growth in the region this year.

Is Adidas expected to increase sales in 2021?

Adidas expects its sales to rise in “high teens” this year on a currency-neutral basis. Analysts expect the company’s sales to rise 9% in 2021 and 10% in 2022. The company’s sales had fallen 11% last year. Adidas is among the companies that have faced a backlash in China over their comments on Xinjiang in the past.

Is Morgan Stanley stock overweight?

In May, Morgan Stanley upgraded the stock from underweight to overweight. The brokerage conducted a survey of 1,500 people aged between 15 to 54. The online survey was conducted on consumers who bought either an athletic shoe or apparel in the last 12 months.

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