Adidas (OTCMKTS:ADDYY) Shares Gap Down After Earnings Miss

Adidas AG (OTCMKTS:ADDYY)’s share price gapped down prior to trading on Thursday after the company announced weaker than expected quarterly earnings. The stock had previously closed at $103.52, but opened at $85.83. Adidas shares last traded at $85.03, with a volume of 23,040 shares changing hands.

The company reported $1.22 earnings per share for the quarter, missing the consensus estimate of $1.41 by ($0.19). Adidas had a net margin of 5.52% and a return on equity of 22.97%.

Analyst Upgrades and Downgrades

Several analysts recently issued reports on the company. Deutsche Bank Aktiengesellschaft reissued a “buy” rating on shares of Adidas in a research note on Tuesday, June 30th. Royal Bank Of Canada upgraded Adidas from a “sector perform” rating to an “outperform” rating in a report on Wednesday, June 10th. Piper Sandler reissued an “overweight” rating on shares of Adidas in a research note on Wednesday, July 15th. JPMorgan Chase & Co. initiated coverage on Adidas in a report on Thursday, July 2nd. They set an “overweight” rating for the company. Finally, Zacks Research raised Adidas from a “strong sell” rating to a “hold” rating in a research note on Monday, May 4th. Eight analysts have rated the stock with a Buy rating, two have assigned a Hold rating and one has given a Sell rating to the stock. Based on data from MarketBeat, Adidas currently has a consensus rating of “Moderate Buy” and an average price target of $146.02.

Institutional Inflows and Outflows

An institutional investor recently raised its position in Adidas stock. GAMMA Investing LLC lifted its position in Adidas AG (OTCMKTS:ADDYY) by 53.5% in the 2nd quarter, according to its most recent 13F filing with the SEC. The institutional investor owned 2,101 shares of the company’s stock after acquiring an additional 732 shares during the period. GAMMA Investing LLC’s holdings in Adidas were worth $216,000 as of its most recent SEC filing.

Adidas Trading Down 16.3%

The company has a current ratio of 1.35, a quick ratio of 0.71 and a debt-to-equity ratio of 0.31. The company has a market cap of $30.95 billion, a PE ratio of 19.08, a PEG ratio of 1.34 and a beta of 1.24. The stock has a 50 day moving average price of $100.03 and a 200 day moving average price of $90.77.

About Adidas

Adidas AG is a global designer, manufacturer and marketer of athletic footwear, apparel and accessories, headquartered in Herzogenaurach, Germany. Founded by Adolf “Adi” Dassler in 1949, the company has grown into one of the world’s leading sportswear brands, offering products for running, soccer, basketball and a wide range of other sports as well as lifestyle and fashion markets.

Adidas’s product portfolio includes performance footwear, sports apparel, team uniforms, equipment and accessories sold under the Adidas brand and through various collaborations.