Nike (NKE) is slated to post its final earnings report of its 2025 fiscal year after the market closes Thursday, with analysts expecting falling sales and profits as the apparel maker works on its turnaround plan.
Nike is navigating short-term revenue and margin declines by focusing on innovation with performance sports, and an integrated Nike Direct and Wholesale marketplace. Management's "Win Now" strategy targets growth in new performance products to offset classic franchise declines, with an inflection point expected in FY26. Despite macroeconomic headwinds and rising competition, early signs of success and inventory right-sizing present a generational buying opportunity with attractive risk-reward.
Nike (NKE) doesn't possess the right combination of the two key ingredients for a likely earnings beat in its upcoming report. Get prepared with the key expectations.
Nike's valuation is attractive after a 37% share price drop, with fundamentals and peer comparisons suggesting it's a good buy at current levels. Despite declining sales, especially in China, Nike remains profitable with strong margins and a robust balance sheet. Reverse DCF analysis shows Nike only needs modest growth to justify its current price, indicating the stock may be undervalued.
NKE eyes fresh innovation and tighter inventory to offset Jordan Brand softness after a Q3 drop in classic footwear sales.
Nike is delaying the launch of its highly anticipated NikeSKIMS activewear line, according to a person familiar with the matter. The companies do not have a new launch date, but they're expecting to debut the apparel later this year.
According to NextEarningsDate.com, the Nike next earnings date is projected to be 6/26 after the close, with earnings estimates of $0.11/share on $10.70 Billion of revenue.
In the most recent trading session, Nike (NKE) closed at $61.90, indicating a +2.26% shift from the previous trading day.
NKE sees China as key to global growth, leveraging its 'mono-brand market' to power long-term gains. However, short-term sales may take a hit.
Wolverine moves past NIKE with brand momentum and operational discipline, reshaping the athleisure growth race amid evolving consumer demand.
In the latest trading session, Nike (NKE) closed at $61.91, marking a -1.42% move from the previous day.
I rate Nike a Buy, with a DCF-based target price of $63.32, reflecting a moderate 2.8% upside over five years. Nike's strong brand, innovation pipeline, and pricing power support mid-single-digit revenue growth and margin expansion through FY2029. My valuation model assumes conservative post-2025 growth, factoring in recent guidance misses and risks from tariffs and competition, but sees resilient demand.