Nike Stock Jumps As Analysts See Signs Of A Turnaround

Core Insights - Nike Inc. reported strong fiscal first-quarter results, with earnings of 49 cents per share, surpassing the consensus estimate of 28 cents per share, driven by broad-based revenue growth [2][4] - The company experienced a year-over-year revenue growth of 1.1%, which exceeded expectations of a 4.8% decline, indicating a positive inflection point across approximately 85% of its sales mix [2][4] - Management provided guidance for second-quarter revenues to decline by low single digits, with gross margin contraction expected between 300 to 375 basis points [3] Financial Performance - Nike's North America sales grew by 4% in constant currency terms, with wholesale sales increasing by 11% [7] - Revenue from the running category grew over 20% in the fiscal first quarter, accelerating from high-single-digit growth in the previous quarter [8] - Wholesale order books for Spring 2026 are up year-over-year, contributing to a positive outlook for the upcoming holiday season [8] Analyst Ratings and Price Targets - JPMorgan raised its price target for Nike from $93 to $100 while maintaining an Overweight rating [9] - Goldman Sachs lifted its price target from $85 to $89, reaffirming a Buy rating [9] - BofA Securities maintained a Buy rating with a price target of $84, while Telsey Advisory Group reiterated a Market Perform rating with a price target of $74 [9]