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Hedge Fund Trade Of The Week: Nike

Where’s the fast money finding opportunity? In this regular feature Anthony Scaramucci aka The Hedge reveals his latest greatest pick!

This week’s trade is long Nike, the widely know maker of athletic apparel and footwear.

According to the company’s website Nike’s goal is to... “develop products that help athletes of every level of ability reach their potential, (as well as) to create business opportunities that set Nike apart from the competition and provide value for our shareholders.”

Check out the company’s chart and some of its stats:

Nike (NKE)
Sector: Consumer Cyclical
Industry: Footwear
Based in: Beaverton, OR
Market Cap: $37.29 billion
52-week high: $92.49
52-week low: $66.34

Anthony Scaramucci selects this stock as his Hedge Fund Trade Of The Week because he thinks the recent sell-off in the stock presents an opportunity.

As you may know, Nike shares are off about 15% over the past month due to fears that the company's margins will struggle as input prices march higher.

”But this is a great name,” Scaramucci says. “It’s trading at 16 times forward earnings and 9.4 times its EBITDA. And it has a dividend yield of 1.6%.”

In other words, Scaramucci thinks the stock is cheap at current levels. In fact he's got a $100 price target on Nike.

For what it’s worth Scaramucci isn’t the only top hedgie making this bet. Oak Hill, Adage, Citadel, Caxton, Chilton, and George Soros also hold shares.

*In addition to his Nike trade, Scaramucci also provides the desk with a trade update on H&R Block; a former Hedge Fund Trade of the Week. Did his bet pay off? Watch the video and find out now!

Click here to check out other Hedge Fund Trade Of The Week posts

* Anthony Scaramucci runs SkyBridge Capital, a leading alternative asset manager with more than $7 billion under management. Every week on Fast Money, Scaramucci, aka 'The Hedge', takes you behind the hedges, giving you an unprecedented look at the names getting the most chatter amongst the hedge fund community.



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Trader disclosure: On April 5, 2011, the following stocks and commodities mentioned or intended to be mentioned on CNBC’s "Fast Money" were owned by the "Fast Money" traders; Finerman and Finerman's Firm own (AAPL); Finerman and Finerman's Firm own (CVS); Finerman's Firm owns (HPQ); Finerman and Finerman's Firm own (MSFT); Finerman owns (USO); Finerman's firm owns (IWM); Finerman's firm owns (SPY); Finerman's firm owns (MDY; Kinahan Owns (WAG); Kinahan owns (CSCO); Kinahan owns (F), is short (F) calls; Kinahan owns (MOS), is short (MOS) calls; Kinahan owns (ORCL); Kinahan is short (SPY) through options; Kinahan is long (XLB) puts; Kinahan is short (YHOO) puts; Adami owns (AGU); Adami owns (C ); Adami owns (GS); Adami owns (INTC); Adami owns (MSFT); Adami owns (NUE); Adami owns (BTU); Terranova owns (C); Terranova owns (VRTS); Terranova owns (JPM); Terranova owns (UPL); Terranova owns (PBR); Terranova owns (TCK); Terranova owns (BAX); Terranova owns (XOM); Terranova owns (AKAM); Terranova owns (CVI); Terranova owns (CNQ); Terranova is long (NFLX) puts; Terranova is long (POT) puts; Terranova is long (F) puts; Terranova is long (VLO) puts; Terranova is long (CAT) puts

Brian Kelly
Accounts Managed by Kanundrum Capital are long (GLD)
Accounts Managed by Kanundrum Capital are long (MON)
Accounts Managed by Kanundrum Capital are long (SLV)
Accounts Managed by Kanundrum Capital are short (XLF)
Accounts Managed by Kanundrum Capital are long euro
Accounts Managed by Kanundrum Capital are short yen
Accounts Managed by Kanundrum Capital are long gold
Accounts Managed by Kanundrum Capital are long silver
Accounts Managed by Kanundrum Capital are long crude oil
Accounts Managed by Kanundrum Capital are long natural gas
Accounts Managed by Kanundrum Capital are long (EBAY)
Accounts Managed by Kanundrum Capital are long wheat
Accounts Managed by Kanundrum Capital are long (DBA)
Accounts Managed by Kanundrum Capital are short copper
Accounts Managed by Kanundrum Capital are short (XLF)
Accounts Managed by Kanundrum Capital are short (SMH)
Accounts Managed By Kanundrum Capital Own (TSN)

For Joe Terranova”
Terranova is Chief Market Strategist of Virtus Investment Partners, LTD
Virtus Investment Partners Owns More Than 1% Of (ABAX)
Virtus Investment Partners Owns More Than 1% Of (AMKR)
Virtus Investment Partners Owns More Than 1% Of (CCG)
Virtus Investment Partners Owns More Than 1% Of (CASS)
Virtus Investment Partners Owns More Than 1% Of (CSVI)
Virtus Investment Partners Owns More Than 1% Of (EXR)
Virtus Investment Partners Owns More Than 1% Of (FCFS)
Virtus Investment Partners Owns More Than 1% Of (IGE)
Virtus Investment Partners Owns More Than 1% Of (KRC)
Virtus Investment Partners Owns More Than 1% Of (LDR)
Virtus Investment Partners Owns More Than 1% Of (NCRI)
Virtus Investment Partners Owns More Than 1% Of (DBV)
Virtus Investment Partners Owns More Than 1% Of (XLB)
Virtus Investment Partners Owns More Than 1% Of (XLV)
Virtus Investment Partners Owns More Than 1% Of (XLP)
Virtus Investment Partners Owns More Than 1% Of (XLY)
Virtus Investment Partners Owns More Than 1% Of (XLE)
Virtus Investment Partners Owns More Than 1% Of (XLF)
Virtus Investment Partners Owns More Than 1% Of (XLI)
Virtus Investment Partners Owns More Than 1% Of (XLK)
Virtus Investment Partners Owns More Than 1% Of (XLU)
Virtus Investment Partners Owns More Than 1% Of (WDFC)
Virtus Investment Partners Owns More Than 1% Of (YDNT)
Virtus Investment Partners Owns More Than 1% Of DOMINO'S PIZZA UK & IRL PLC
Terranova owned (JNPR) on 3/30/11

For Anthony Scaramucci
SkyBridge Is A Fund Of Funds Manager
Funds Held May Or May Not Own The Recommended Securities

For Brian Stutland
**No disclosures

For Matt Hougan
**No Disclosures

For Bill O'Donnell
**No Disclosures

For Rich Ilczyszyn
**No Disclosures

Comcast Is The Parent Company Of CNBC
Comcast Is The Parent Company Of NBCUniversal
GE Owns 49% Of NBCUniversal
GE Owns 49% Of CNBC




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