Ge Long Hui·2025-12-22 03:11Core Viewpoint - Morgan Stanley's research report indicates that Nike's Q2 FY2026 performance negatively impacted Shenzhou International's performance, but the market may overlook positive signals for Shenzhou from Nike's results [1] Group 1: Nike's Performance - Nike's apparel sales grew by 4% year-on-year in the quarter, although this was lower than the previous quarter's growth of 7%, attributed to a high base effect [1] - Nike's apparel sales in North America and Europe recorded positive growth during the period, which is beneficial for Shenzhou International as approximately 40% of its sales come from these regions [1] - In Greater China, Nike's apparel sales only declined by 6% year-on-year, significantly better than the 20% decline in footwear sales; this region now accounts for only 11% of Nike's total sales, limiting its impact on Shenzhou International [1] Group 2: Shenzhou International's Market Position - The market tends to view Shenzhou International as a representative of the domestic sportswear sector in China, but over 75% of its sales come from markets outside of China, suggesting it may benefit more from resilience in other markets [1] - The recent decline in Shenzhou International's stock price presents a good buying opportunity, with Morgan Stanley setting a target price of HKD 72 and maintaining an "Overweight" rating [1]