Friday’s Headlines: Nike Tops Analysts’ Expectations
1. Nike reported quarterly earnings and sales that beat analysts’ expectations on Thursday, as more customers flocked to its stores for limited-edition Jordan sneakers and ordered athletic apparel from its website. The company said its Jordan brand had its first billion-dollar quarter, thanks to new innovation and a spike in interest amongst women and non-U.S. consumers. The sporting giant report earnings per share of $0.70 on revenue of $10.33 billion, versus estimates of $0.58 on revenue of $10.09 billion. Read the full story here.
2. Tinder owner Match Group saw its stock rise more than 8% on Thursday following confirmation that it will be spun-off by media and internet giant IAC. IAC shareholders will have direct ownership of Match Group after the separation, and receive an additional $3 a share cash in consideration. IAC expects a tax-free separation to occur before the end of June 2020. Following the deal's closing, IAC CEO Joey Levin will initially serve as executive chairman of Match Group and IAC finance chief Glenn Schiffman will serve on the board of directors. Get the full report here.
3. Telecom group Ericsson saw its stock drop nearly 5% on Thursday despite the news that Greenland chose the Swedish company over Huawei to supply equipment for its fifth-generation (5G) telecoms network. Fearing hi-tech espionage, and battling with China over trade, the U.S. has pushed allies to exclude Huawei from lucrative 5G deals. Huawei has denied its equipment can be used for spying. Earlier this year, privately held Danish telecoms operator TDC also picked Ericsson over Huawei for its 5G network. Read here for the complete story.