Adidas Faces Diminishing Growth Prospects Amid Double Downgrade
"Adidas was double downgraded by Bank of America. The analysts have said that they expect lower growth for the company going forward. Also said that investor interest in that sector was really starting to wane. Um in some what some said was is quite harsh. They said that the company's brand upcycle was old news. Um, so that maybe seems to indicate that the company might not be able to kind of always ride the wave of consumer enthusiasm for uh its retro sneakers, which was really what has been driving the growth over the last couple of years. Um, and this comes just a few weeks after Nike, which is obviously the most direct competitor, uh, warned that sales would also take a hit for them with a weakness in China in particular. So, it seems that across the board for those spots where stocks, there's maybe a lack of catalyst going forward and some weakness that we need to take into account."
Chloe Malay outlines that Adidas was double downgraded by Bank of America, with analysts expecting lower growth due to an outdated brand upcycle and waning investor interest. She emphasizes that issues in competitive markets, such as the recent warning from Nike regarding China, further highlight a potential lack of catalysts for Adidas in the near term.
T-Mobile Impresses with Subscriber Growth and Positive Outlook
"T-Mobile ticker TM US. Sharers have been kind of back and forth, but it basically gained about a million new mobile phone subscribers and raised its outlook for the year. This success was bolstered by the recent acquisition of US Cellular, which added about four and a half million customers, and further helped by the Apple iPhone 17 release. They expect to add as many as 3.3 million wireless lift subscribers and around 130,000 fiber home internet customers for the year."
The commentary on T-Mobile highlights strong subscriber gains driven by both organic growth and strategic acquisitions, with an improved outlook supported by the launch of the iPhone 17, indicating a bullish sentiment toward the company.
Robust Merchant Partnerships and Revenue Growth in CLA
"CLA's already signed some major merchants and four of the top five in fact in the US work with CLA including eBay and Walmart. So these are huge retailers that generate billions of dollars in sales. Walmart approaching 700 billion in sales. And so working with CLA offers them the access to all of their customers. So revenue in the most recently completed quarter grew to over 800 million and they have 20% growth in revenue on a like forlike basis. Transaction margin dollars before provisions for credit losses grew 19% year-over-year on a like forlike basis which was an 8 point acceleration."
The speaker outlines CLA's strong merchant partnerships and significant revenue growth, underlining the company's ability to leverage high-profile retailers to drive a virtuous cycle of customer acquisition and enhanced transaction margins.
Brunello Cucinelli Reaffirms Growth and Dispels Short Seller Claims
"Brunello Cucinelli reported a jump in sales this morning and it also reaffirmed its targets for the year of 10% revenue growth. But perhaps more importantly, the juicier part of the news today is that it did push back against claims from a short seller. The co-CEO said the Russian business is like a candle that is burning out."
Brunello Cucinelli dispelled allegations by short seller Morpheus Research regarding operations in Russia and maintained a positive outlook by reaffirming a 10% revenue growth target. Investor confidence appears to be restored as shares recovered from prior weakness.