People attend the first day of the Hong Kong Sevens rugby tournament on November 4, 2022. - The three-day event, long established as a highlight of the World Rugby Sevens circuit, kicked off November 4 after years of Covid-related cancellations and is billed as a key component of Hong Kong's reopening drive. (Photo by ISAAC LAWRENCE / AFP) (Photo by ISAAC LAWRENCE/AFP via Getty Images)

Nike: China Reopening A Major Tailwind


  • Due to the suspension of sports as a containment measure for Covid 19, NKE shares declined.
  • The Chinese full reopening will serve as a significant tailwind for NKE, considering it enjoys the biggest market share in China.
  • The recent collapse of the Chinese Yuan against the US dollar may impact the strong momentum in China.



Investment Thesis

Nike, Inc. (NYSE:NKE) creates, develops, markets, and sells men’s, women’s, and children’s athletic footwear, clothes, equipment, and accessories in conjunction with its subsidiaries. Sports have suffered significantly since the onset of COVID-19, with most sports being stopped as a containment measure. Additionally, some

NKE China Market Share


Consumer Purchasing Ability


Policy Influence


Disclosure: I/we have no stock, option or similar derivative position in any of the companies mentioned, and no plans to initiate any such positions within the next 72 hours. I wrote this article myself, and it expresses my own opinions. I am not receiving compensation for it (other than from Seeking Alpha). I have no business relationship with any company whose stock is mentioned in this article.

Additional disclosure: This essay is not intended to provide financial advice but rather to share my honest assessment of the firm.

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