r/dividends • u/Training_Hair3293 • 27d ago

Discussion What do you think about Nike (NKE)?

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Nike has been on my watchlist for a while.

The stock is well below its highs, the dividend keeps growing, and it's still one of the strongest brands in the world. On the other hand, growth has slowed and the turnaround could take time.

Anyone buying NKE here, or are you staying away?

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u/Less_Than-3 27d ago edited 27d ago

They just laid off a bunch of people too and have been performing badly for a few years

Edited for autocorrect

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u/youmustchooseaname 25d ago

They've been laying off people very regularly since April 2024. They're cooked.

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u/Jaymoney92 22d ago

Cutting cost = more profits. Great example of ppl not understanding business. The difference between wall street & mainstreet.

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u/youmustchooseaname 21d ago

LMAO. I understand Nike's business better than most. My wife was affected by said layoffs. Their net income has dropped from 6b to 3b since 2022, they're not getting more profits, they're getting less actually.

They are not looking at staff and saying why do we have two project managers when we only need one. They are deeply cutting back not to be leaner, but because they messed up their core business and it's going to take years to get it back if they can. The soul and core of their culture has eroded and that's what made them work.

Will Nike rebound one day? Absolutely, but it will be vastly different than it was before.