For the first time since 2014, shares of Nike (NKE), a sports apparel supplier, traded below $40. The stock dipped in the $39 range before recovering, up by 2.48% on Tuesday.
Nike failed to recover several years after poorly received advertising campaigns. The stock still has enough relative strength in the last month that traders do not consider it oversold.
The mixed signals might leave NKE stock stuck in a trading range between $39 and $43.
In China, Baidu (BIDU) posted weak results. In Q2, EPADS of $1.06 missed expectations. Revenue fell by 4% Y/Y to $4.62 billion. The general business fell by 3% Q/Q. Only its Cloud business posted positive strength. BIDU stock lost 12.73% to close at $90.87.
Home Depot (HD) earned $4.92 a share. Revenue was $47.9 billion (+5.8% Y/Y). Comparable sales rose by 1.7%. This fiscal year, the firm will open 15 new stores. It expects comparable sales growth of 0% to 2%.
HD stock is a solid company that fits long-term investors.
Fabrinet (FN) lost 19.38% on Tuesday. It reported Q4 adjusted EPS of $4.10 after revenue grew by 45.1% Y/Y to $1.32 billion. The firm is expecting revenue and non-GAAP EPS that exceed analysts' expectations.
FN stock still trades at a slight premium, so it needed strong results to avoid the sell-off.
