Write a short report discussing the valuation of Nike INC and its competitor Crocs.

Explain how the valuation of compares to the competitor based on the P/E ratio? Why might this be the case?

Compare Nike's current price to the estimated price?

Using the industry and sector P/Es, Compare both for the TTM and estimated year-end:

• Is it higher or lower? Why?
  • Provide one rational reason why.

• Based on the firm and competitor, which of the two firms appears to be undervalued? Why? What is the reason?