- Nike traded near a 12-year low after Dick’s cut its full-year outlook on softer footwear demand and promotions, while JD Sports cut profit guidance after North American comparable sales fell 6.8%.
- Nike reported roughly flat fiscal Q4 revenue, down 3% currency-neutral, and guided for a 2% to 4% revenue decline in the current quarter; management also expects Greater China sales to fall about 20%.
- Dick’s executive chairman Ed Stack identified Nike running products, including Vomero and Peg, as strong performers, supporting the company’s performance-footwear rebuild even as clearance activity remains elevated.
- Jefferies characterized Nike’s stock weakness as a buying opportunity, while RBC retained a Sector Perform rating and a $45 price target, citing a slower-than-expected turnaround and a difficult consumer backdrop.
Quotes
“There are some things out there in the marketplace that are working extremely well, whether it's from the Nike Mind shoe, the Nike running construct is great”
“Nike changed the running silhouette. They really redefined this whole category of business. They've done extremely well with the Vomero and Peg, and those 2, in particular, have done extremely well”
“results aren’t there yet.”