Warring: Nike is pretty well insulated from tariffs with its global business

Core Viewpoint - The company is experiencing a turnaround, but the current valuation may limit upside potential, necessitating quicker improvements to see share price increases [2][4]. Valuation Concerns - Shares are trading at approximately 40 times next 12-month earnings and 30 times earnings for two years out, raising concerns about valuation [2]. - The risk is perceived to be on the downside unless there is a significant earnings beat and positive guidance [5]. Guidance Importance - Guidance is crucial, especially as it pertains to the upcoming holiday season, which is a key period for sales [3]. - Expectations for earnings next year are around $250 million, with potential upside if earnings exceed this significantly [5]. Market Share and Competition - The company is not currently gaining market share from competitors like Hoka or OnQ, but there are expectations for future gains [4]. - The company has a global business model, with only 44% of sales coming from North America, providing some insulation from tariff impacts [4].