Nike's and Lululemon's Tariff Tumble: Time to Buy or Sell?

We are in the fog of war of the stock market tariff tantrum. News -- sometimes contradicting itself -- seems to be coming every hour from the United States government, corporations, and foreign countries as they try to figure out how to respond to the Trump tariffs enacted last week. Some countries, like Vietnam, received a shockingly high 46% tariff rate on exports to the United States, which has spooked the markets.Apparel sellers are some of the hardest hit by this news. Nike (NYSE: NKE) and Lululemon Athletica (NASDAQ: LULU) have crashed over the past week, with both stocks down over 50% from highs set back in 2021. Does this tariff rollercoaster mean you should sell these apparel giants? Or is now the time to buck up and buy the dip? Let's dig in further and find out.Before the tariff announcement, Nike struggled with a major global slowdown in its operations. Last quarter, revenue fell 9% year over year. Operating margin has slipped to 10.3% over the last 12 months, compared to a 15% level just a few years ago. It is no surprise then that Nike stock is down 70% from all-time highs, one of its worst drawdowns in history.Continue readingWeiter zum vollständigen Artikel bei MotleyFool Weiter zum vollständigen Artikel bei MotleyFool