Possession Sports JD fashion (LSE: JD.) Shares are a painful experience. On 87.5 pens per share, FTSE 100 It fell worth 28.4% of the retail from mid -August.

The fall of JD results from a series of profit warnings resulting from impoverished consumer demand. In the last budget year (ended January), city analysts expect that annual earnings will raise only 1%.

In better messages, the number of Crunchers believes that the raise in profits is warming up in the next few years. This is shown in the table below:

But taking into account recent discounts, how solid can these forecasts be considered? And should I think about adding JD, a former hero of investors from the participation of growth, to my portfolio?

Hard times

To sum up, JD was destroyed because of impoverished conditions on its markets, especially in the USA. In the last decrease in profits in January he said: “The market authorities were higher than we expected“In the key holiday. He added: “With these trade conditions, we will continue, we take care for the new budget year“.

Similarly to similar sales, it fell by 1.5% in November and December, and the declines in North America and the offset of Great Britain in Europe and Asia and the Pacific.

In total, his operations in North America and British constitute 65% of group turnover.

Continuous uncertainty

What can we expect in the future? Well, judging by the latest information information, JD may need to wait a little longer for sales recovery.

According to the CNBC/NRF retail monitor, according to seasonally, the sale of clothing and accessories in the US fell by 2.96% month per month. Recently, impoverished state demand was the main problem for JD.

Kwiecznia Inflation and its impact on interest rates still affect consumer expenses on the company’s markets. We hope that you can composed down your pressure as you progress 2025, combining retailers.

But it’s far from certainty. In fact, the situation has probably become a bit more gloomy after the latest data inflation (CPI) from the USA this week.

The number 3% was higher than market expectations and raised doubts as to the pace and scale of future reductions in the federal reserve rates. The possibility of entering into force novel trade tariffs in the field of price inflammation adds another layer of unpredictability.

Buy the highest value for me?

However, despite these threats, I am still considering adding JD fashion to my portfolio. This is because I am someone who buys wrestling in the long run. And although it may take a little longer than the market hopes, affecting current earnings forecasts, the confident sales of JD will roar to life, recharging the price of shares from current levels.

First of all, the global sports sector is still taking place for significant growth. Analysts at Fortune Business Insights believe that sales will raise at an annual rate of 9.82% between 2024 and 2032, guided by growing demand for comfortable, functional clothing and product innovations.

Thanks to the constant expansion of JD – which added 1159 stores in the first half of last year – it can also be well prepared to apply this growth.

I am also attracted by a low P/E indicator below 7 times. This gives the price of JD shares a lot of increased possibilities if (as I expect) recover sales.