👟 Nike (NKE): Turnaround Opportunity or Value Trap?

Nike has fallen from nearly $180 in 2021 to around $40, but a lower stock price doesn't automatically make a stock cheap.

The company is rebuilding around innovation, a stronger sport-first identity, healthier inventory, and improved wholesale partnerships. Gross margins have been stabilizing, and direct-to-consumer remains a key strength.

At the same time, the challenges are real. Analysts expect another quarter of soft revenue, competition is intensifying, tariffs and higher sourcing costs remain headwinds, and some believe Nike still trades at a premium valuation despite its decline.

For me, this earnings report isn't just about EPS.

I'm watching:

• Gross margin improvement

• Inventory health

• Digital and DTC momentum

• FY2027 guidance

• Management's confidence in the turnaround

My thesis is simple:

Nike doesn't need a perfect quarter—it needs to convince investors that the turnaround is becoming sustainable.

This is one of the most interesting "prove it" stories in the market right now.

What's your view—early turnaround or value trap?

#TigerTrade#StocksToWatch

Long-Term Investing: Look at ROE or PE?

Many investors have heard the idea that “long-term compounding ≈ ROE.” This concept was first put forward by Charlie Munger, known as the Munger Rule. In his 1981 shareholder letter, Warren Buffett also pointed out that if PE remains unchanged, a company with 14% ROE will generate a long-term investment compound return of 14% as well. When picking stocks for the long run, do you focus more on ROE or PE? Why? Do you think ROIC and FCF are more important than ROE in compounding? If you could only choose one metric for a 10-year investment decision, which one would it be?

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👟 Nike (NKE): Turnaround Opportunity or Value Trap?

Nike has fallen from nearly $180 in 2021 to around $40, but a lower stock price doesn't automatically make a stock cheap.

My thesis is simple:

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