EQUITY RESEARCH | 7 January 2026 | 10:39PM JST RESURGENT JAPAN — SEIZING THE GLOBAL GROWTH OPPORTUNITY Further unlocking value of Japanese IP/brands; highlighting 11 stocks The strength of Japanese IPs and consumer brands, we believe, lies not only in their high functionality but also in the craftsmanship and technology that embed refined sensibilities into products and services. In addition to world-renowned IPs such as Dragon Ball (serialization started in 1984), Super Mario Bros. (NES launch in 1985), an ...

Another quarter of top-line growth is nice. But profit is hurting, and sales are falling sharply in China.Nike (NKE +0.14%) shares were slammed after the sportswear giant reported its fiscal 2026 second-quarter results on Thursday afternoon. The move lower came as the company delivered shrinking profits and another difficult quarter in China.Selling everything from running shoes to performance gear under one of the most recognizable brands in the world, Nike still dominates athletic footwear and apparel. An ...

Core Insights - On Holding raised its annual revenue target for the third time this year after exceeding quarterly sales and profit expectations [1] - The increase in revenue guidance is attributed to strong demand for its running shoes and sneakers [1] Company Performance - The company reported better-than-expected quarterly sales and profits [1] - The strong performance is linked to the popularity of its footwear products, particularly running shoes and sneakers [1]

Group 1 - Microsoft is positioned as a key player in the AI race, particularly through its partnership with OpenAI and its Azure cloud computing platform, which is expected to lead to strong earnings [1] - The valuation of certain stocks is considered attractive, indicating potential for growth, with a specific mention of a recent reinitiation of investment at current price levels [2] - Netflix is perceived to have reached a bottom after recent market fluctuations, suggesting it may be a good time for investment [2] Group 2 - Arista Networks is mentioned positively, indicating a favorable outlook for the company [2] - The discussion highlights a notable increase in stock price for a company referred to as "cliffs," which is up 9%, suggesting strong market performance [2]

Your running shoes couldn't get any taller, right? What's next in sneaker tech. https://t.co/3YVDKMqy1p ...

Core Viewpoint - Nike is currently undergoing a turnaround under CEO Elliot Hill, with expectations of a challenging earnings report, including a projected sales decline of 5-6% and earnings of 28 cents per share [3][4]. Financial Performance - Analysts expect Nike to report earnings of 28 cents per share for the trailing quarter on revenue of $11.2 billion [1]. - The company experienced a 15% rally in shares three months ago following its fourth-quarter earnings report [1]. Market Position and Competition - Nike's shares are down 0.8% ahead of the earnings report, with competitors like Lululemon and Deca's Outdoor also experiencing declines [2]. - Nike is facing increased competition from local Chinese brands such as Anta and Li Ning, which have improved their product offerings and distribution [12][13]. Product Development and Strategy - Nike has launched several new product lines, including running shoes and a partnership with Skims in the athleisure market, aimed at regaining market share [6][7][8]. - The company is expected to leverage major marketing events like the 2026 Olympics and World Cup to boost its brand presence [9]. Challenges in China - Nike has struggled in the Chinese market due to high youth unemployment and competition from local brands, although it remains the market leader [10][12]. - Per capita spending on sportswear in China is significantly lower than in the US, indicating potential growth as more consumers enter the middle class [14]. Investment Outlook - Analysts view Nike as undervalued, with a fair value estimate of $14 per share [14].