1524 GMT - Adidas is set to report decent first-quarter results, although U.S. tariffs will be in the spotlight, Warburg Research analysts write in a note. All major sourcing countries are subject to Trump's levies, including Vietnam, the country to which the industry pivoted to escape higher wage costs and tariff threats in China, the analyst says. Sporting-goods companies could raise prices in the U.S. to mitigate the impact of duties. While there could be a U.S. recession, Adidas should be able to win market share and return to double-digit earnings margins, the analyst says. "Outside the U.S., we expect more fiscal stimulus in Europe and China, which should counterbalance the hit," he adds. The analyst upgrades the rating for the stock to buy from hold. Shares are up 2.8% at 191.65 euros. (andrea.figueras@wsj.com)
(END) Dow Jones Newswires
April 08, 2025 11:24 ET (15:24 GMT)
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