Nike stock has climbed over 40% in the last six months. The S&P 500 is up 18%. What will happen after Nike reports its earnings this Friday?<\/p>\n
This earnings season a key part of the equation is Nike\u2019s digital health. Here\u2019s why:<\/p>\n
In its last earnings report in September, Nike reported that digital sales exploded by 82%.\u00a0It also revealed that digital sales now account for at least 30% of quarterly sales- a target Nike had only planned to reach by 2023. These are tough comps to beat.<\/p>\n
However, the sportswear giant is confident that this digital demand acceleration is here to stay:<\/p>\n
\u201cWe know that digital is the new normal. The consumer today is digitally grounded and simply will not revert back<\/strong>\u201d CEO John Donahoe said on the last earnings conference call.<\/p>\n CFO Matt Friend added: \u201cNike is recovering faster based on accelerating brand momentum and digital growth.\u201d<\/p>\n With this in mind, we used Similarweb\u2019s alternative data<\/a> to take a deep dive into Nike\u2019s digital trends for the quarter. Do the digital data points support such bullish commentary?<\/p>\n To answer this question, we looked at:<\/p>\n Nike’s website traffic<\/a> is hitting new heights. It recorded a particular boost from October to November, after slashing prices for its Black Friday sale bonanza.<\/p>\n Indeed, from September 2020 to November 2020, traffic spiked from 104M to 142M- an increase of 29%. And from the beginning of the year, web traffic is up a staggering 66%. That beats the 61% Adidas<\/a> recorded during the same period, as well as ASOS (up 52%).<\/p>\n\n
Nike’s Website Traffic Is Spiking<\/h2>\n