Nike shares plunge 44% in 2026 as Jefferies sees potential 100% upside

  • Jefferies analyst Randal Konik reaffirmed a Buy rating and $75 price target for Nike.
  • Nike shares fell 44% in 2026, closing Friday at $35.75 near a $35.22 52-week low.
  • Nike reports first-quarter fiscal 2027 results before Thursday’s opening bell.

Nike shares have fallen 44% in 2026 as weaker demand in China and stronger competition, including from On Holding, weigh on the athletic-apparel company. Jefferies analyst Randal Konik maintained a Buy rating and a $75 price target, implying potential gains of more than 100% from Friday’s close of $35.75. Nike is due to report first-quarter fiscal 2027 results before Thursday’s opening bell. Konik forecasts earnings per share of 48 cents and revenue of $11.5 billion, above consensus estimates of 44 cents and $11.3 billion. Jefferies expects North American operations and wholesale channels to stabilize, supported by improved inventory management and tighter costs. It projects selling, general and administrative expenses at 34.5% of sales, down from 35.3%, and EBIT margin at 7.6%, up from 7.1%. Nike’s fourth-quarter gross margin declined 10 basis points excluding tariff effects, compared with management’s guidance for a 25-to-75-basis-point contraction. Jefferies attributed the performance to less promotional activity, lower reserves and fewer North American order cancellations. Challenges remain in Direct-to-Consumer channels, Europe, China and key categories such as Classics, Sportswear and Jordan. Konik considers the November 16-17 investor day more consequential than the immediate earnings release, with incoming CFO David Denton expected to present updated fiscal 2027 and 2028 targets. Nike was removed from the S&P 100 on September 21, while speculation has grown over its possible removal from the Dow Jones Industrial Average. Wall Street views the stock unevenly: BofA Securities downgraded it to Underperform with a $30 target, BTIG raised its target to $55 while retaining Buy, and Stifel cut its target to $40 and lowered its fiscal 2027 and 2028 earnings estimates.

The information on this website is generated using AI and we cannot guarantee its accuracy. Please use it as reference information only.
Nike shares plunge 44% in 2026 as Jefferies sees potential 100% upside - CoinPost Terminal