Adidas (ADS) share price has outperformed Nike this year as the latter has continued to report weak financial results. It has soared by over 22% in 2024 while Nike has slumped by over 10%. Nike’s sell-off accelerated in extended hours after it published weak results and guidance.  Nike slashes guidanceAdidas stock price was in the spotlight on Friday after Nike slashed its guidance after publishing weak financial results. Its direct-to-consumer revenue dropped by 8% to $5.1 billion while its overall figure fell by 2% to $12.6 billion. Nike warned that its business was softening and that its sales this year would be weaker than expected, which explains why its stock tumbled by more than 12%.These results came at a time when Nike and Adidas are facing substantial competition from companies like On Holding and Lululemon. Still, there are signs that Adidas is doing better than Nike. In its recent financial results, the company said that its operating profit rose to €336 million in the last quarter from €60 million a year earlier. Its direct-to-consumer business had double-digit sales growth while its gross margins ose to 51.2%. Most importantly, the company also lowered its inventory levels by €1.2 billion to €4.4 billion and the trend will continue. Adidas’ direct-to-consumer revenue rose by 20% whale its e-commerce figure rose by 34%, driven by Yeezy. Still, despite this performance, Adidas warned that the market was ‘still volatile and not easy’, with demand concerns remaining. Nike and Lululemon, an athleisure brand manufacturer, have confirmed this view. In its recent earnings, Lululemon said that its US sales growth was stalling as its total revenue came in at $2.21 billion. Therefore, I believe that Adidas stock will likely have some volatility in the near term after the weak Nike guidance. In the long term, however, the company will do well as the management continues to implement its turnaround. Adidas share price forecast ADS chart by TradingViewThe daily chart shows that the Adidas stock price has rallied after bottoming at €93.15 in 2022. It has now soared to over €220 and moved above the key resistance point at €200. The stock remains above the 23.6% Fibonacci Retracement point and the 50-day and 100-day Exponential Moving Averages (EMA). Also, the Relative Strength Index (RSI) has moved above the neutral point at 50.Therefore, the stock will likely remain in this range and show some volatility as traders wait for the next earnings, which are set for July 31st.More By This Author:VanEck Officially Files For Spot Solana ETFUS Dollar Index Sits And Waits For The NFP Inflation Data PayPal Stock Price Analysis: Why Is PYPL Falling Apart?