KR how is there any different than now and they’re using consultants at these PE firms to do this work. It’s so bad and Nike that PE will be an upgrade.
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People looking for PE to come in have no idea how their playbook works. They would load it up with debt, sell all the real estate, fire/outsource as much of the workforce as possible with the goal of extracting as much cash as possible. When there's nothing left, they'll bankrupt it to eliminate the debt and sell off the scraps. They're a bunch of leeches and vampires.
You make a good point, those PE need some anti ai bets. So Nike could be really good
Most PE is already in over their heads on AI investments. The last thing they need is to grab onto a boat anchor like Nike.
@ef it is how the stock was setup during the IPO.
Which class doesn’t matter. Both share are the same price. If the stock keeps tanking and they reject an offer from PE, the shares will drop even more.
They are in the perfect doom loop. Wall Street doesn’t believe in them, they can’t fix the organization and everyday market value is dropping. You can almost $300B to $49B and think you can fix the boat.
@dw it sounds like a real scam.
OP, the only way PE will get involved is if the Knight family agrees to it. They hold over 97% of the Class A shares which select 9 of the 12 board seats. The class B shares which are the ones publicly traded only get to select 3 of the board seats.
The dividend is not going to be cut. Denton said that in the call clearly. He is going to cut expenses to ensure it won’t be. And raise margins. That means less people, less buildings and less liquidation
$24 is optimistic
TR’s 12 month low is $19
And before you say it’s crazy… the TR low has been nearly spot on.
Under $10 is a possibility now. More than a year out, but not out of the question.
And yes, a dividend cut is a forgone conclusion. It will accelerate the doom loop into an uncontrolled and irrecoverable descent.
Hold onto your butts.
PE isn’t going to buy Nike and if they do you will most certainly get laid off. That’s what they do. Gut the company to juice earnings, load it with debt and go public to unload to the d-mb bag holders. PE is evil and only cares about making money for them.
Once the dividend gets cut. We should be under $20. Then kicked off of the sp500.
I will be so happy and buy a cake to celebrate
It’s PE or zero. I would take that PE and PK would problem be ready to give up or die
Phil Knight would need to sell the majority of the voting shares to a PE firm, which seems highly unlikely.
People on this board should stop looking at PE, as Nike savior.