Nike shares rise after Tim Cook buys $3m in stock
Nike shares edged higher on Wednesday after Apple CEO Tim Cook disclosed a nearly $3 million purchase of the sportswear company’s stock, according to a regulatory filing.
Nike’s shares rose about 2% in premarket trading following the news. Cook, who has served on Nike’s board since 2005 and is currently its lead independent director, bought 50,000 shares at an average price of $58.97 per share, News.Az reports, citing Reuters.
Despite the positive market reaction, Nike has faced recent challenges. The company reported weaker quarterly margins and slower sales growth in China earlier this month, prompting a sharp sell-off. Nike shares have fallen nearly 13% since the company released its earnings report on December 18.
On Wednesday, Nike stock was trading at around $58.49. Following the latest purchase, Cook now holds approximately 105,000 shares in the company, according to the filing dated December 22.
The move by Cook is seen by investors as a vote of confidence in Nike at a time when the company is navigating soft demand and pressure on profitability, particularly in key international markets.
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