After having long been adidas’ largest growth driver, China is still a huge thorn in its side. What had begun with the “cotton crisis” last April was exacerbated with strict lockdowns across China since March. Unfortunately, adidas’ woes there are completely overshadowing accelerating trends in the remaining 80% of its business driven by a strong execution of the “Own the Game” playbook and a resilient consumer sentiment. We decrease our TP to EUR305 as a result FY22-23 estimate adjustments (-3% on avg.) and DCF assumptions.