Why might Foolish investors want to consider investing in Nike at recent prices?
The first reason a Fool should consider Nike is because it’s one of the biggest brands in the world. Second, it dominates its industry. These are the two main reasons to look at Nike. The fact that Nike seems to be priced according to what the market expects to see in the next year makes the company even more attractive to Fools. Why? Because the next year won’t be very good for the company. It is just beginning to reap the rewards of its restructuring in terms of higher profit margins; however, sales are still increasing slowly. Neither Nike nor adidas is expecting much over the next 12 months because it will probably take the industry about 12 months to work through its problems. In the meantime, we have a UEFA Cup in Europe, the Olympics in Sydney, plus U.S. sporting events like the NBA finals, the World Series, and the Super Bowl, as well as a multitude of college events. In Asia, economies are turning around and pro sports are becoming more popular. In 2002, the FIFA World Cup wil
