Adidas Shares Get a Boost From Nike's Upbeat Sales

By Giulia Petroni

Shares in sneaker maker Adidas AG rose Friday after its peer Nike Inc. posted record sales fueled by solid U.S. consumer demand for sportswear--an indicative sign of the sector's bright prospects.

Nike's sales nearly doubled in the quarter ended May 31, beating consensus estimates and raising investors' expectations for sneaker makers and sporting brands as economies in key regions reopen.

At 0849 GMT, Adidas traded 5.1% higher at EUR307.40 a share, with the overall DAX index lower.

"Nike's 4Q highlighted strong demand in North America and Europe and a recovering China, setting up the scene well for upbeat 2Q reports from Puma and Adidas in the weeks ahead," analysts at Jefferies say.

Shares in German sporting-goods company Puma SE also rose, trading 2.1% higher at EUR98.72, but off earlier gains of around 3%.

Earlier this year, Germany-based Adidas upgraded its guidance and said it expected currency-neutral sales to increase by around 50% in the second quarter of the year and at a high-teens rate in 2021.

Adidas is scheduled to release results for the first half on Aug. 5.

Write to Giulia Petroni at [e-mail]

(END) Dow Jones Newswires

June 25, 2021 05:06 ET (09:06 GMT)

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