Mediterranean fast-casual chain Cava Group reported third-quarter results that missed Wall Street's estimates, as younger and middle-income consumers struggle with higher costs and competition remains... ...

Core Insights - Adidas' CEO indicated that U.S. retailers are ordering less product due to uncertainty surrounding tariffs, leading to widespread discounting [1][3] - Third-quarter sales in North America fell by 5%, with shares dropping over 10%, despite global revenue reaching a record of 6.63 billion euros ($7.73 billion) [2] - Adidas expects U.S. tariffs to reduce operating profit by 120 million euros this year, with the most significant impact anticipated in the fourth quarter [4] Sales Performance - North American sales decreased by 5%, and even after adjusting for currency effects, it remained the worst-performing market for Adidas [2][6] - Global revenue grew by 3%, reaching a quarterly record of 6.63 billion euros ($7.73 billion) [2] Retailer Behavior - Retailers are cautious and ordering less upfront, leading to increased flexibility with discounts to clear excess inventory [3] - The discounting trend is negatively impacting Adidas' full-price sales, as consumers are drawn to lower-priced competitors [3] Pricing Strategy - Adidas has raised prices on more expensive items while keeping prices stable for cheaper products to avoid alienating sensitive customers [5] - The price of the popular Samba sneaker increased from $90 to $100, although the visibility of these price increases to consumers is still uncertain [5] Supply Chain Adjustments - To mitigate the impact of tariffs, Adidas has reduced sourcing from China to the U.S. and implemented price hikes and supply chain changes [4][6] - A strong euro against the dollar resulted in a 300 million euro hit to quarterly sales, although North American sales adjusted for currency were up 1% [6]

Stacey, this sense that Nike might have reached bottom in the fourth quarter, fiscal fourth quarter. Given that the inventory numbers were higher than what was anticipated. Do we is that idea now moot.I think that idea now, you know, like, let's face it, this was supposed to be the kitchen sink quarter and we were hoping to see some improvement in inventory and we didn't see as much as we had hoped for. So perhaps that pushes the story back a bit. And we know this is a long term turnaround story, but I thin ...