1. NIKE, Inc. (NYSE:NKE)
Number of Hedge Fund Holders: 69
NIKE, Inc. (NYSE:NKE) designs and manufactures higher-end products that are often accompanied by elevated services. For example, the company’s HyperAdapt 1.0 self-lacing sneaker of $720 comes with an assistance number of HyperAdapt owners. Likewise, Nike’s Jordan Brand Wings Collection contains items that are handmade in Italy using high-quality materials.
NIKE, Inc. (NYSE:NKE) tops our list of luxury clothing stocks to invest in now. On April 11, BofA upgraded the stock to Buy from Neutral and increased the price target to $113 from $110.
In the fourth quarter of 2023, 69 hedge funds held positions in NIKE, Inc. (NYSE:NKE) worth $3.53 billion. As of Q4 of 2023, Fisher Asset Management is the most significant shareholder in the company and has a position worth $1.07 billion.
Polen Capital stated the following regarding NIKE, Inc. (NYSE:NKE) in its first quarter 2024 investor letter:
“The largest absolute detractors were Adobe, Zoetis, and NIKE, Inc. (NYSE:NKE). Nike has experienced a prolonged period of cost headwinds, offsetting its increasing revenue from direct-to-consumer channels, which would typically enhance its margins. In addition, a gap in new product innovations in recent years has caused earnings growth to stall temporarily. We see these transient headwinds abating, and the company plans to launch several innovations in footwear commensurate with the Paris 2024 Olympics. We believe this should lead to increased revenue growth as cost headwinds abate, thus accelerating earnings growth.
We increased our positions in ThermoFisher Scientific, Visa, Zoetis, Nike, and Abbott Labs. Each of these companies is durable and available at attractive valuations, in our view, for the growth we see ahead. In fact, in the case of ThermoFisher, Nike, and Abbott Labs, we expect accelerating earnings growth in the back half of 2024 after more difficult earnings growth periods pass for each of these companies. Nike will likely be free of transient cost headwinds that have recently held back margin expansion opportunities.”
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Should you invest $1,000 in NIKE, Inc. (NYSE:NKE) right now?
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Disclosure: None. You can also look at the 30 Wealthiest People in Canada and 12 Under-the-Radar Stocks With Massive Upside for 2024.
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