Week 50: Outdoorfeeling
Outdoorfeeling with North Face, Columbia and Adidas
The outdoor industry is characterized by a consolidation path for the last years. While in the first dacade of this century across all brands huge growth rates where shown, more competition and more complex client preferences separates the wheat from the chaff. Nevertheless the urge to the people to leave the luxury home for a certain time to experience the beauty and the force of nature is still rising. The winners of these consolidations will come out of this phase even stronger. We present you this week three companies which due to the market positions and innovation energies will further profit from the increasing trend "experiencing nature".
VF Corporation (VFC US): The Us "Outdoor-Giant! North Face belongs to company VF Corporation which is the biggest global producer and distributer in this area (Turnover 2018: 8.35 Billion USD)
Columbia Sportswear Co (COLM US) : It is not imaginable to forget the top dog in the Outdoor-branch. Last year the record turnover of 2.45 Billion USD could be reached
Adidas AG (ADS GR): The german sporting-goods manufacturer is not typically known as a producer of outdoor equipment. Adidas already recognized the trend during the last years and has been established succesfully. Like in case of VF Corporation numerous synergies support the outdoor division. (Revenue 2018: 21.915 Billion EUR)
The risk of a direct investment could be reduced by implementing low european barriers (59% and 69%). Our Certificate is also equipped with decreasing Autocall Levels. The high guaranteed Coupons exceed the average expected dividend yields from VC Corporation (2.12%), Adidas (1.20%) und Columbia (1.06%) significant.
18M Barrier Reverse Convertible in CHF/EUR/USD
| Currency | CHF | EUR | USD |
| Denomination | CHF 1'000.-- | EUR 1'000 | USD 1'000 |
| Maturity | 18 months (early redemption possible) | ||
| Underlying (Worst Of) | Columbia Sportswear Co (COLM US) VF Corporation (VFC US) Adidas AG (ADS GR) |
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| Coupon guaranteed with EU Barrier 59% |
7.20% p.a. | 7.60% p.a. | 9.60% p.a. |
| Coupon guaranteed with EU Barrier 69% |
10.62% p.a. | 11.04% p.a. | 13.05% p.a. |
| Autocall | Q1: No Autocall Q2: 100% Q3: 98% Q4: 96% Q5: 94% Q6: 92% |
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| Observation | Quarterly | ||
| Indication | 09.12.2019 | ||
| Size | [CCY] 1'000'000;-- | ||
| Issuer | Rating A- minimum | ||
| Issue Price | 100% | ||
We are happy to customize the relevant components exactly to your personal preferences. Please imagine that the indications can change day by day.
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Text und analysis by Florian Franz
Partner at Carat Solutions AG
The chart provides you the development of the relevant underlyings during the last 18 months:
