Nike (NKE) Beats Q1 Earnings and Revenue Estimates

Core Viewpoint - Nike reported quarterly earnings of $0.49 per share, exceeding the Zacks Consensus Estimate of $0.27 per share, but down from $0.7 per share a year ago, indicating an earnings surprise of +81.48% [1] - The company has consistently surpassed consensus EPS estimates over the last four quarters [2] Financial Performance - Nike's revenues for the quarter ended August 2025 were $11.72 billion, surpassing the Zacks Consensus Estimate by 6.49%, compared to $11.59 billion in the same quarter last year [2] - The current consensus EPS estimate for the upcoming quarter is $0.51 on revenues of $11.97 billion, and for the current fiscal year, it is $1.67 on revenues of $45.78 billion [7] Market Performance - Nike shares have declined approximately 8.1% since the beginning of the year, while the S&P 500 has gained 13.3% [3] - The company's Zacks Rank is currently 4 (Sell), indicating expected underperformance in the near future [6] Industry Outlook - The Shoes and Retail Apparel industry, to which Nike belongs, is currently ranked in the bottom 26% of over 250 Zacks industries, suggesting potential challenges ahead [8] - Empirical research indicates a strong correlation between near-term stock movements and trends in earnings estimate revisions, which could impact Nike's stock performance [5]