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Kanye West gave Kim Kardashian 995 Adidas shares for Christmas - here's why it could be a good investment

Dec 28, 2017, 02:30 IST

AP/Scott Roth

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Kanye West gave his wife, Kim Kardashian West, hundreds of thousands of dollars worth of stocks for Christmas this year, including 995 shares of Adidas, which makes Kanye's Yeezy shoe line.

So while the inclusion of Adidas stock may have been a bit of self promotion, it could also turn out to be a wise move financially. While apparel competitors like Nike and Adidas struggle to grow North American sales at a healthy rate, Adidas surged ahead, announcing a 31% year-over-year sales increase in November.

Adidas attributes its strong performance to an emphasis on customer demand. While Nike and Under Armour continue to focus on the basketball shoes that have defined their legacies, Adidas noticed an increase in demand for smaller and more flexible running shoes and shifted its strategy to meet that demand.

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The company has also attempted to appeal to consumers by increasing investment in e-commerce, including a new smartphone app that was released in November and can be personalize to each user.

Adidas hopes that by using customer demand to guide production decisions, it can increase brand loyalty, which could makes Kim's Christmas present the gift that keeps on giving. Her Adidas shares would be worth about $100,000 at the current price.

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