Buy Adidas shares in the UAE
Investing in shares offers good returns, and many people are interested in this way of earning money. But most of them are deterred from investing by the fact that there is a lot of negative information about it, which is completely unfair. This way of earning is real and one that can bring good interest in the long run.
Many beginners do not dare to invest in stocks, and if they do, they invest minimally to avoid risks. Professionals, who have been working in this market for many years, have managed to build up a decent capital by investing in shares and calculating all possible losses ahead of time, developing strategies.
Beginners start with a few stocks, which initially pay out small dividends, but over time as they become more familiar with the strategies, the amount invested increases, and then the accrual turns into a major, not insignificant income.
Adidas: history
Adidas is a German corporation that specialises in the manufacture and sale of sportswear, footwear and equipment. The company is the industry leader in Europe and one of the largest sportswear manufacturers in the world. Adidas was founded in 1948 on the basis of family factory of Dassler Gebrüder Dassler Schuhfabrik, working since 1924 in Germany. The founder of the brand is Adolf Dassler. Its main competitors are Nike and Puma.
To become a leader, the company produced innovative products and cared about the comfort of athletes. So, for the 1972 Olympics special cleats were created, which helped the footballer get on the field faster after injury. The shoe is now preserved in the Adidas Museum. In the 1950s, the company launched shoes adapted for use on snow and frozen ground. Since then, the brand has continually expanded its range and improved.
In 2019, Adidas was included in the Dow Jones Industrial Indices for the 20th consecutive year. Corporate governance, risk management, climate change mitigation, labour standards, sustainability and innovation management are taken into account when companies are assessed for sustainability.
Since the 2000s, Adidas has been divided into two lines - Performance and Originals. The first presents apparel and footwear created with state-of-the-art technology, while the second offers casual clothing in a sporty style. In Forbes' ranking of the most expensive sports brands, Adidas ranks third (after Nike and ESPN) with a value of $11.2 billion.
According to DJSI's review, Adidas leads the industry in brand management, cybersecurity, environmental policy, operational efficiency, social accountability and talent attraction.
Adidas, the world's second-largest sporting goods manufacturer, increased net profit 18-fold in the first quarter of 2021. The company noted improvement in all market segments since the beginning of 2021.
Adidas posted a net profit of 558 million euros in January-March. Sales of Adidas products via its own online platform increased by 43%. At the end of March 89% of its shops worldwide were open. The market value of Adidas has risen by nearly 33% in the last 12 months (to €51.86bn) while the DAX stock index has gained 40% in the same period.
What influences the Adidas share price?
The advantage of fashion franchises is their independence from market fluctuations. Yes, crises like the mortgage crisis of 2008 will break the market, and Adidas at the same time. But trade wars, the commodity race and even the vagaries of fashion are harmless for the securities of the issuer. All because franchise products rely on cheap production from readily available materials. The customer needs the products themselves at all times: no matter what the crisis is, people buy beautiful clothes.
Fluctuations in quotations provoke these events:
- Changing tax policies in China, Russia, the US, the EU and the Middle East.
- Ethical production scandals.
- A change in management.
- A new quarterly report.
- Presentation of a fashion collection and collaboration with a new designer.
- A takeover of competing brands.
Adidas shares are a must in the European portfolio. The franchise has 2,900 shops and thousands of products for all tastes - a ship that is hard to sink! The brand has established itself in both the sports market and the casual clothing market: whatever the fashion trend, Adidas will buy.
How to invest in Adidas shares in the UAE?
Learning how to invest in Adidas shares in the UAE is a wise decision as a trader. Investing in Adidas shares is available to anyone. That is why, if you have spare cash, it is wise to invest in Adidas shares. The returns on the stock can far outstrip inflation, not to mention the fact that such an investment will save you money.
First steps as a first-time investor
- Make a clear plan of action, determine how much you want to invest. To start to act, study the market, get acquainted with current stock market trends. This is the minimum set of knowledge you need to start with.
- Select a reliable platform and proven brokers with a good reputation. All work will be done online via the terminal on your PC or mobile application. Enter personal information, phone number and email to register at the broker's website.
- Choose a direction. The strategy and techniques will depend on the choice. This point includes analysing the stock, the demand for it. This can be determined by information online or on television about their rise or fall. The choice may not result in high profits, but such securities will not make large losses when they fall, especially if it is a long-term investment.
There are many different investment strategies that increase the chance of a profitable investment. We will highlight the main methods of investing in stocks:
- Buy and Hold is a long-term investment in securities. This method of investing is often used by novice investors. Its essence is to buy shares and receive dividends from them. The shares are held and are not sold for a long time (even in a crisis). The investor can increase their number over time. Continuously increasing the portfolio makes it possible to reach higher profits.
- Portfolio investing is a method of investing in which an investor tries to take a minimum level of market risk in order to get the maximum return for a given portfolio of investments. It is possible to divide part of the equity in a portfolio between different industries and with different market capitalisations. Part of the equity can be split between short-term and long-term investments.
- Buffett's strategy is based on selecting stable companies with a good reputation. Their shares will not fall critically in price even in a crisis, and goods will be sold regardless of the economic and political situation.
- Impulse investing - a trader invests in fast-growing stocks when they are on an uptrend and ruthlessly bids farewell to those assets that begin to fall in price or slow down in growth. Suitable for short-term investing. You can use the short selling method to increase the profitability of your portfolio. Short selling allows you to make money even on falling assets.
The immediate choice of one of these strategies will depend on an investor's ability to learn the market, apply technical analysis tools and hold on to stocks during periods of manipulative decline.
You don't have to be a world-class investor to start invest in Adidas shares in the UAE.
You can invest in Adidas shares in several ways
- Buy shares for a long period and profit from dividend payments as well as share price growth. This type of investment can be categorised as a long-term investment.
- To buy shares and hold them for a short period of time to profit from an upcoming event in the company. For example, the publication of quarterly reports. This option can be classified as a short-term investment.
- Speculating on stocks during the trading session. This type of trading refers to intraday trading.
Unlike the long term trading of Adidas stock, where the trader can rely on the analysis of the financial performance of the companies, in short term investing one has to rely on their knowledge and wit. A multi-level analysis of the stock market must be carried out, in order to ensure that the investment is effective in the short term. Depending on the volume and time horizon of the investment, two main approaches are applied: technical analysis and fundamental analysis.
Adidas shares are now one of the most popular investments on the European stock markets. Adidas has grown at a fantastic rate in recent decades. Its sales are growing faster than any other firm in Europe.
Before buying Adidas shares, you need to be clear why you are doing so and consider all the risks involved. You need to analyse how profitable it is to buy the stock and how quickly it will justify itself and make a profit. External factors such as the economic, political situation, demand for the product, its reliability, development and other important factors should be taken into consideration.
If the trader has funds, the stock exchange allows the purchase of almost any volume of Adidas shares that are in free circulation. Experienced traders recommend that you make a contingency plan, weighing up the pros and cons. Try it and you are sure to succeed!
How to buy Adidas shares in UAE?
The IPO took place on 17 November 1995 and Adidas shares were traded on Frankfurt's Deutsche Börse. The IPO was held on 17 November 1995. Under the ADS ticker symbol, they can be found on the Swiss, Vienna, Hamburg, Berlin and Italian stock exchanges. Since the start of trading on the stock exchange, the price of Adidas securities has risen by more than 8 times.
To learn how to invest in Adidas stock in UAE, you need a little time and a minimum amount of money from the comfort of your home. To start trading Adidas stocks, you need to decide on a broker, and choose an online trading platform and go through the registration procedure. It is easy and free!
You have to provide your personal details (name, email address) and confirm the registration process. It is important to do this, so that you always have access to the trading platform and the trading accounts opened on it. After registering you can already start trading on the stock market.
If you are new to the stock market, use a demo account to practice and gain experience. Almost every broker offers its clients the possibility to open a demo account, where all basic instruments, functions, analysis tools, etc. are available. A demo account can be called a kind of simulator of a standard one: everything is similar between them, except for funds that are used in trading.
If you are already confident in your abilities, then open a real trading account to buy Adidas stock in UAE and start making real profits. For this, you will need a minimum amount of money. Of course, such an amount will not bring you much profit, but most importantly, you will get a smooth growth and gain experience. Only a competent trading system and strategy can give you the confidence to work! So go ahead, have a successful trading!