What's going on?

Nike slam-dunked competition-shaking results on Tuesday, and the crowd (or, uh, markets) went wild.

What does this mean?

Supercharged interest rates have been, like, totally killing Nike�s vibe this year: it�s a growth stock, after all, so higher rates tamper down the value of the firm�s future earnings. But it looks like Nike�s got its swag back: the footwear giant�s out-of-sight results revealed that sales were 17% higher than the same time last year (tweet this), and extra-profitable online sales were up an immense 25%. Even Nike�s Chinese sales rebounded, despite the country reeling from the effects of lingering lockdowns. Markets said �nice one, Nike�, and met the results with a gaggle of high fives.

Why should I care?

For markets: Trends change, but quality lasts.
�Quality investing� is basically what it says on the tin: investors buy good-looking businesses that are strong enough to ward off competitors in their growing industries. Sounds solid, but that�s the problem: businesses like that are honey to investors, and all that buzz can mean their share prices end up overhyped from time to time. Remember too, that even so-called quality businesses lose their sneaked-up footing sometimes � and when they do, investors can lose their overpriced shirts as well. The best ones, though, can ride out the speedbumps with style, and Nike�s results could well land the firm in that limited-edition batch.

The bigger picture: No discounts here.
Nike�s results will be a beacon of hope for struggling retailers right now. See, budget-squeezed shoppers have been cutting down on nice-to-haves, so stores have been relying on holiday discounts to shift their stock ��a recipe for worse-for-wear profit margins. Nike, though, has managed to bring its (albeit growing) inventory down to below peak levels, and ��most importantly � full-priced kit is flying out the doors. Layer on record-breaking Black Friday and Cyber Monday sales, and Nike�s feeling pretty rad about what�s to come.