Xin Lang Cai Jing·2025-12-26 23:20Core Viewpoint - Apple CEO Tim Cook made a significant investment in Nike, purchasing over 50,000 shares for nearly $3 million, marking his first personal investment in the company since joining its board in 2005, despite Nike's recent poor financial performance [3][4][20]. Group 1: Nike's Current Situation - Nike's recent Q2 financial report revealed a 16% decline in revenue from Greater China, with its digital business in the region plummeting by 36% [11][12]. - The company is facing intense competition from local brands like Anta and Li-Ning, which have capitalized on the "national trend" and better understand local consumer preferences [13][14]. - Nike's reliance on single-brand stores has backfired, leading to a decline in brand appeal and customer traffic [14][15]. Group 2: Tim Cook's Investment Strategy - Cook's investment is seen as a confidence booster for Nike, especially as the company undergoes a painful transformation under new CEO Elliott Hill, who is implementing a "Win Now" reform plan [20][21]. - Cook's purchase, along with that of Nike's audit committee chair Robert Swan, signals a belief that Nike's stock price has reached a bottom, establishing a "Cook bottom line" at around $59 [22][23]. Group 3: Potential for Digital Integration - There is speculation about the potential integration of Apple's digital ecosystem with Nike, which could enhance customer experience through seamless payment options and health data integration [24][25][26]. - The collaboration could lead to personalized marketing strategies based on health data, significantly improving customer engagement and sales [30][31]. Group 4: Long-term Value Perspective - Despite current challenges, Nike's long-standing brand equity and technological advantages are viewed as resilient, suggesting that the company may recover in the long term [35]. - The current price-to-earnings ratio of Nike is around 33, a historically low level, indicating potential undervaluation amidst market panic [34].