1409 ET - Nike and Adidas both offer good opportunities for upside once again, HSBC analysts say in a note. "Duopoly is back," the analysts say, noting they rarely have the same rating on the stocks. Adidas should grow sales at a double-digit rate over the next 18 months, and there is no reason Nike won't be able to revert to growth quickly from now, the analysts say, noting the company's first-quarter sales increase came after 18 months of no sales growth. The company's margins should also improve, helped by tariff mitigation strategies, easy comparisons to the second half of the prior fiscal year, and a higher proportion of full-price sales, they say. "Nike shares should thrive, despite tariffs and double-digit topline growth at rival Adidas," they say, maintaining their buy rating on both stocks. (kelly.cloonan@wsj.com)

(END) Dow Jones Newswires

October 01, 2025 14:09 ET (18:09 GMT)

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