Nike vs Lululemon Stock - Only One is a BUY

Nike (NKE) and Lululemon (LULU) stocks are both underperforming the markets lately, for different reasons, and trading at low historical multiples. Is it time to buy?

Ishfaaq is an Elite Popular Investor on eToro and the Founder of The Superinvestors Club.

Today's video is about:

0:00 Nike
4:44 Lululemon
10:12 Intrinsic Value

Nike vs Lululemon Stock - Only One is a BUY

In this video, we dive deep into the current market performance of Nike and Lululemon, two major players in the athletic and luxury sportswear industries. Both stocks have experienced significant declines, with Nike down 60% from its all-time high in November 2021 and Lululemon also seeing a substantial drop. We explore the underlying reasons behind these declines and analyze whether these companies present good investment opportunities at their current valuations.

Key Highlights:

Overview of Nike and Lululemon's recent stock performance.
Impact of supply chain issues and the pandemic on both companies.
Analysis of Nike's challenges, including slowed growth, lower earnings expectations, and competition in China.
Examination of Lululemon's business model, luxury product offerings, and growth prospects.
Comparative analysis of Nike's and Lululemon's financial health, including returns on invested capital and debt positions.
Discussion on valuation metrics and intrinsic value calculations for both companies.
Insights into long-term investment strategies for Nike and Lululemon.

Who is Ishfaaq Peerally:
Ishfaaq Peerally is an Elite Popular Investor on the leading social trading network eToro and he is the founder of The Superinvestors Club. On this channel, Ishfaaq talks mainly about investing, stock analysis, passive income, financial education, economics and entrepreneurship.

#stockanalysis #ValueInvesting #lululemon

[IshfaaqPeerally]

Do you own Nike or Lululemon stocks?

You can find the full analyses and more on The Superinvestors Club:

[QnIgInAOpTiQ]

So true, I don't get it why so many people rush to buy Nike stock.

[SergiMedina]

Very interesting as always. I generally don't like these kind of businesses for investing because they're luxury products, that is too expensive, and most people, or at least the smart people, will buy equally good but much cheaper products (well, I do...), and also they can't do well when the economy isn't good. And right now... political power and socialism in general is growing each day, so economies are faltering. The only stock was AAPL, but even that one is very overvalued and not growing, also iPhone sales are diminishing. So, these two stocks should be way more undervalued to be considered good investments, and also a strong economy, not the one we're getting... Thanks!

[PopeyeSailor-wzew]

Nike are luxury products. They were first to sell $100 shoes when shoes were $25.

Sorta stars are "Influencers" too.

[fplbrunoo]

I don't understand why you discount at 5%. Isn't everything cheap for you then?