Understanding the Market | TOPSPORTS rose over 9% in early trading, with new product plans from Nike expected to drive a business turnaround, as the company is highly dependent on Nike
TOPSPORTS rose over 9% in early trading, and as of the time of writing, it has increased by 7.39%, priced at HKD 2.47, with a transaction volume of HKD 106 million. Nike has announced a new product plan, including a brand new road running shoe series and running apparel, aimed at meeting the needs of runners. Analysts believe that Nike's new product line will help improve its operating conditions and may bring benefits to TOPSPORTS and the related industry chain. However, TOPSPORTS still faces a decline in industry foot traffic and a high dependence on Nike, and a turnaround may take several months
According to Zhitong Finance APP, TOPSPORTS (06110) rose over 9% in early trading, and as of the time of writing, it is up 7.39%, priced at HKD 2.47, with a transaction volume of HKD 106 million.
In terms of news, Nike has announced a new product plan: launching a new simplified road running shoe series (the rebound cushioning Pegasus series, the ultra-cushioning Vomero series, and the supportive cushioning Structure series); introducing the new Nike Vomero 18, leading in ultra-cushioning; releasing new basic running apparel Nike Swift and Stride; and launching a new women's shoe model, Air Max Muse. This release marks the first new product line since the new CEO took office, with a clear product vision that consolidates Nike's advantages, focusing on professional running and precisely meeting the needs of runners.
Guotai Junan pointed out that Nike's introduction of a new road running shoe product line division will help consumers with various needs select suitable products, and they look forward to improvements in products and channels under the leadership of the new CEO Hill. Nike's subsequent operational turnaround is expected to bring benefits to related industry chain targets. Bank of China International previously stated that TOPSPORTS may take several months to potentially turn around due to the general decline in offline customer traffic in the industry and the company's unique high dependence on Nike
