Adidas Shareholders Hoping Faith Isn’t Shanked
Adidas Shareholders Hoping Faith Isn’t Shanked (Adidas, AG)
Adidas AG (ADDYY), the world’s second-largest sporting-goods manufacturer after Nike, has seen its shares appreciate 3.8 percent since March 24. Optimists believe this is just the beginning of the run that will reach full stride in June when the World Cup soccer tournament begins in Brazil. The Herzogenaurach, Germany-based company expects sales to rise to $2.8 billion this year — an all-time high — and hopes that momentum will ignite a new 16-year profit run stretching all the way until 2030, when ADDYY’s World Cup agreement ends. The question is, does the recent 3.8 percent bump reaffirm your faith in the company for the long term… Or would you characterize your faith in Adidas as more of a short-term fling?