Nike shares rally as turnaround takes shape
- In premarket trading on Friday, Nike Inc. shares surged 17% after the company announced that its worst struggles are over, buoyed by a better-than-expected earnings report.
- Amid tariff pressures and poor sales, Nike faced about $1 billion in added costs, with Q4 sales down 12% and net income plunging 86%, prompting strategic adjustments.
- Analysts from Evercore ISI describe Nike's turnaround as 'one of the biggest potential turnarounds in consumer,' with CEO Hill stating the 'Win Now' plan is impacting results.
- In response to Nike's 17% surge, multiple banks issued bullish commentary, and the Nasdaq rose 0.5% into record territory.
- Nike Inc. plans to reduce China-made U.S.-bound goods to a high single-digit percentage range by May 2026, supporting its supply chain overhaul amid tariff pressures.
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Nike Jumps as Outlook Creates Optimism in Turnaround - Bloomberg Intelligence
Watch Paul LIVE every day on YouTube: http://bit.ly/3vTiACF. Bloomberg Intelligence hosted by Paul Sweeney and Carol Massar **Broadcasting live from Michael Loeb’s Annual Uncharted Summit** Poonam Goyal, Senior U.S. E-Commerce and Retail Analyst at Bloomberg Intelligence, recaps Nike earnings. Nike forecasted a smaller-than-expected drop in revenue for the current quarter, a sign that the sportswear company’s earnings trend may have hit an infle…
Nike rallies on efforts to tackle tariff costs as turnaround takes shape
Nike shares surged 10% in premarket trading on Friday as an encouraging forecast and plans to reduce China production for U.S.-bound goods bolstered confidence in an ongoing turnaround effort at the sportswear giant.
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