NIKE(US:NKE) Yahoo Finance·2025-12-28 15:58Core Viewpoint - NIKE, Inc. is considered one of the best quality stocks to buy before 2026, despite a share price decline of over 10.8% following its fiscal Q2 2026 earnings release, with a positive analyst consensus indicating a potential upside of more than 31% from current levels [1][2]. Financial Performance - NIKE, Inc. reported a revenue growth of 0.59% year-over-year, reaching $12.43 billion, which exceeded estimates by $218.31 million. The earnings per share (EPS) of $0.53 also surpassed expectations by $0.16 [2]. - The company's gross profit margins declined by 300 basis points, and sales in China fell by 17%, contributing to a negative investor sentiment [2]. Analyst Ratings and Price Targets - Following the earnings release, analysts from Citi and UBS reiterated a Hold rating on NIKE, Inc., with both lowering their price targets from $70 to $65 and from $71 to $65, respectively [3]. - Analyst Jay Sole from UBS noted that the company's turnaround is taking longer than anticipated, suggesting a need for more time to resize inventory [4]. Future Outlook - Despite current challenges, NIKE, Inc. is expected to achieve mid-single-digit percentage sales growth and approximately 10% EBIT margin over the long term [4].