Why LeBron James Is Right to Tweet Bullish Comments on Nike's Stock – TheStreet.com

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Nike (NKE) closed at an all-time high of $83.47 on Thursday.

The Dow Jones Industrial Average component’s stock has rallied about 6% since it unveiled its controversial new ad campaign with Colin Kaepernick. “Well I mean I guess WE’RE on fire,” Nike sponsor/greatest basketball player on the planet LeBron James tweeted Thursday night. As we wrote in Morning Jolt after the Kaepernick ad was revealed: “Long-term investors should favorably view the deal as it shows Nike trying to skate where the puck is headed in society.”

Well I mean I guess WE’RE on ����������������. �������� #JokesOnYou #NikeLifer✔️ https://t.co/OVPP54a3hz

— LeBron James (@KingJames) September 14, 2018

Most data I have seen hint Nike’s online sales have surged since Sept. 4 as consumers have rallied around the company’s efforts. The rally isn’t a shocker. Two-thirds of consumers (66%) said it’s important for brands to take public stands on social and political issues, according to a new survey from Sprout Social. Roughly 61% of respondents said it’s important for brands to do so through social media specifically, which is the top channel for consumer receptivity. In effect, Nike has tapped right into the pulse of the majority of its consumers and appears to be coming out a winner.

LeBron is right about the stock price. 

Retail Chat

Not sure how this isn’t the final holiday season for Sears Holdings (SHLD) . The second-quarter numbers suggest impending doom. But hey, this walking zombie has managed to stay on life support for a long time. So who knows?

To be sure, one can’t blame Sears for not wanting to share its second-quarter results.

The dying owner of the Sears and Kmart brands was scheduled to report its latest results Thursday before the market open. For unknown reasons (company spokesman Larry Costello didn’t respond to my tweet/email asking what was up; Sears other two spokesman have had me on block — and don’t respond to my email inquiries — since my analysis on Sears hit the front page of the New York Times and was profiled in BusinessWeek in 2014), the retailer opted to put off the release until after the close. And while embattled Sears CEO Eddie Lampert tried to put lipstick on a pig, the second quarter did little to suggest the company is pulling itself out of the grave.

Sears reported a net loss of $4.68 a share, worse than the year-ago loss of $2.33 a share. The adjusted EBITDA loss tallied a whopping $112 million vs. a loss of $66 million a year ago. Considering Sears has been aggressively closing stores and consolidating its operations to cut costs, the loss is a disappointment. “While we are encouraged by the improved comparable-store sales trend we experienced in the second quarter, and the positive comparable-store sales of 3.0% and 2.5% achieved in the months of July and August, respectively, we have yet to achieve our goal of returning the company to profitability. We continue to close unprofitable stores, and we are hopeful that we can stabilize our store base at a meaningful level in the near future. Our goal is to right-size our store footprint to a solid base from which we can operate and grow profitably, while leveraging our online and Shop Your Way platforms,” Lampert said in a statement.

Shares of Sears rocketed 15% higher in early trading as the market focused on the retailer’s sales turning positive in July and August. Buy in this turnaround at your own risk people

Sears is Real Money’s ‘Stock of the Day.’

Around TheStreet 

News break. TheStreet’s @AndersKeitz broke the news on Thursday afternoon that UPS (UPS) would be hiring 100,000 temporary workers for the holiday season. A year ago, UPS hired 95,000 people. Believe it or not, UPS may find itself under-staffed in what is expected to be a strong holiday season for e-commerce.

Interview. Yours truly will be sitting down with Angie’s List (ANGI) CEO Chris Terrill on Friday — I’m interested to get his take on the U.S. housing market. The second quarter was mixed for many companies reliant on housing amid a slowdown in new home sales.

Events. In search of extra income? Of course you are. Be sure to tune in Sept. 17 for a very unique webinar being hosted by TheStreet that will help uncover great incoming-producing investments. You’ll thank me later for recommending this one.

Meanwhile, Debra Borchardt, an alum of TheStreet, and her new cannabis media venture will be holding a conference Friday in New York to discuss the future of the space. Lots of industry influencers will be attending, with a keynote from TheStreet’s founder @JimCramer. If you are in New York, head down there and grab a ticket — Tilray’s (TLRY) stock is up more than 390% in a month for a reason.