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Nike Stock Inches Up on Apple CEO's Purchase
24 Dec
Summary
- Apple CEO Tim Cook purchased nearly $3 million of Nike stock.
- Cook bought 50,000 Nike shares at $58.97 each.
- Nike's stock has declined nearly 13% since December 18.
Nike shares saw a modest increase of 2% in premarket trading on Wednesday following a significant stock purchase by Apple CEO Tim Cook. Cook, who has been a Nike board member since 2005 and serves as its lead independent director, invested nearly $3 million in the sportswear company. He acquired 50,000 shares at a price of $58.97 per share, as detailed in a regulatory filing released on Tuesday.
This strategic investment by Cook occurs shortly after Nike reported disappointing financial results on December 18, which included weaker quarterly profit margins and slower sales growth in the crucial Chinese market. Consequently, Nike's stock value had experienced a substantial decline of nearly 13% in the days preceding this announcement.
As of December 22, the regulatory filing indicated that Tim Cook's total shareholding in Nike now amounts to approximately 105,000 shares. This move by a high-profile executive from a major tech company signals confidence in Nike's long-term prospects, potentially offering some reassurance to investors amidst the company's recent performance headwinds.
