Adidas (OTCMKTS:ADDYY) Shares Gap Down - What's Next?

Key Points

• Adidas shares gapped down significantly, opening at $103.23 from a previous close of $113.68 and last trading at $102.65.
• Analysts have recently shown renewed confidence in Adidas, with ratings varying from "hold" to "strong-buy," resulting in a consensus rating of "Buy".
• The company declared a recent dividend increase to $0.7565 per share from a previous $0.24, representing a dividend yield of 0.62%.

Adidas AG (OTCMKTS:ADDYY - Get Free Report)'s stock price gapped down prior to trading on Wednesday . The stock had previously closed at $113.68, but opened at $103.23. Adidas shares last traded at $102.65, with a volume of 28,204 shares changing hands.

Wall Street Analysts Forecast Growth

A number of equities research analysts recently commented on ADDYY shares. Hsbc Global Res upgraded shares of Adidas from a "hold" rating to a "strong-buy" rating in a research report on Wednesday, April 9th. Piper Sandler started coverage on shares of Adidas in a research report on Monday, May 5th. They set an "overweight" rating on the stock. Berenberg Bank upgraded shares of Adidas to a "hold" rating in a research report on Tuesday, April 15th. Bank of America upgraded shares of Adidas from a "neutral" rating to a "buy" rating in a research report on Thursday, April 24th. Finally, DZ Bank upgraded shares of Adidas from a "hold" rating to a "strong-buy" rating in a research report on Friday, May 23rd. Three analysts have rated the stock with a hold rating, three have given a buy rating and three have given a strong buy rating to the company's stock. Based on data from MarketBeat, Adidas currently has an average rating of "Buy".

Adidas Stock Up 1.3%

The firm's 50-day moving average price is $118.02 and its 200 day moving average price is $121.29. The firm has a market capitalization of $34.46 billion, a price-to-earnings ratio of 26.29, a price-to-earnings-growth ratio of 0.47 and a beta of 1.18. The company has a debt-to-equity ratio of 0.31, a current ratio of 1.29 and a quick ratio of 0.72.

Adidas (OTCMKTS:ADDYY - Get Free Report) last released its quarterly earnings results on Wednesday, July 30th. The company reported $1.15 EPS for the quarter, beating the consensus estimate of $1.13 by $0.02. The business had revenue of $6.86 billion for the quarter, compared to analyst estimates of $6.30 billion. Adidas had a net margin of 4.93% and a return on equity of 20.68%. Sell-side analysts expect that Adidas AG will post 2.27 EPS for the current year.

Adidas Increases Dividend

The firm also recently declared a dividend, which was paid on Tuesday, May 27th. Stockholders of record on Tuesday, May 20th were given a $0.7565 dividend. This is a boost from Adidas's previous dividend of $0.24. This represents a dividend yield of 62.0%. The ex-dividend date was Monday, May 19th. Adidas's dividend payout ratio (DPR) is currently 20.71%.

Institutional Trading of Adidas

Several large investors have recently modified their holdings of ADDYY. Mar Vista Investment Partners LLC grew its position in shares of Adidas by 2.6% in the fourth quarter. Mar Vista Investment Partners LLC now owns 29,199 shares of the company's stock valued at $3,556,000 after purchasing an additional 731 shares during the last quarter. GAMMA Investing LLC boosted its position in Adidas by 13,801.2% during the first quarter. GAMMA Investing LLC now owns 124,694 shares of the company's stock worth $14,710,000 after acquiring an additional 123,797 shares during the last quarter. Rhumbline Advisers boosted its position in Adidas by 7.9% during the first quarter. Rhumbline Advisers now owns 9,655 shares of the company's stock worth $1,139,000 after acquiring an additional 709 shares during the last quarter. Finally, Yousif Capital Management LLC boosted its position in Adidas by 9.4% during the second quarter. Yousif Capital Management LLC now owns 5,221 shares of the company's stock worth $607,000 after acquiring an additional 450 shares during the last quarter.

Adidas Company Profile

adidas AG, together with its subsidiaries, designs, develops, produces, and markets athletic and sports lifestyle products in Europe, the Middle East, Africa, North America, Greater China, the Asia-Pacific, and Latin America. It offers footwear, apparel, and accessories and gear, such as bags and balls under the adidas brand; golf footwear and apparel under the adidas Golf brand; and outdoor footwear under the Five Ten brand.