Nike Q3 Earnings Preview: Analyst Says New CEO Can 'Right The Ship,' But It Could Take Longer Than Expected

Athletic apparel and footwear company Nike Inc NKE could highlight a recent brand partnership, the impactof tariffs and progress under a new CEO when the company reports third-quarter financial results after market close Thursday.

Here's a look at analyst estimates for the quarter, what analysts are saying and key items to watch.

Earnings Estimates: Analysts expect Nike to report third-quarter revenue of $11.01 billion, down from $12.43 billion according to data from Benzinga Pro.

The company beat revenue estimates in the second quarter and has beaten analyst estimates for revenue in six of the last 10 quarters overall.

Analysts expect the company to report third-quarter earnings per share of 29 cents per share, down from 77 cents per share in last year's third quarter.

The company has beaten analyst estimates for earnings per share in six straight quarters and nine of the last 10 quarters overall.

What Analysts Are Saying: Needham analyst Tom Nikic sees minimal near-term risk to Nike estimates.

While he maintained a Market Perform rating and sees a strong near-term outlook, caution is given for fiscal 2026.

"We've realized upon building out our FY26 quarterly estimates that it will be difficult for NKE to achieve our prior out-year estimates," Nikic said.

The analyst lowered the price target from $84 to $80. "For 1H26, we expect another period of YoY decline in sales, margins, and EPS, followed by a return to growth in fiscal 2H26."

Nike stock may have found a floor with the hope that new CEO Elliott Hill can "right the ship," Nikic said, adding that the turnaround could take six months longer than originally thought.

Jefferies analyst Randal Konik upgraded Nike stock from Hold to Buy and called the company a "new top pick" last month.

The analyst put strong confidence in Hill and a turnaround strategy that could improve the company's wholesale business and key partnerships, along with new product innovation.

Konik raised the price target on Nike stock from $75 to $115. He said the current valuation of Nike's stock is the lowest its been in ten years, creating a potential "valuation floor" for shares.

“With shares near a valuation trough, we believe now is the right time to aggressively buy shares,” Konik said.

Key Items to Watch: Nike recently announced a new brand called NikeSKIMS developed in partnership with shapewear company SKIMS, which was co-founded by Kim Kardashian.

The company could comment on how quickly these products will launch and what initial reception has looked like for the collaboration.

Nike aired its first Super Bowl commercial in more than two decades earlier this year. The commercial focused on female athletes. This could be a key topic for areas of growth for Nike going forward.

China could also be a key topic during the earnings release and management commentary. Greater China sales were down around 8% year-over-year in the second quarter, tied for the worse performing geographic region with North America.

Analysts and investors will be looking to see if China sales recover.

Tariffs will also be a key topic centered on China and other markets with Nike importing goods made in countries at risk to see higher tariffs in the future. Management will likely provide initial comments on being prepared for the higher costs and likelihood of short-term pressure.

If commentary is worse and provides details on higher costs for consumers or pressure on profit margins, the stock could take a hit.

NKE Price Action: Nike stock is down 0.6% to $72.88 on Wednesday versus a 52-week trading range of $68.62 to $101.92. Nike stock is down 1.1% year-to-date in 2025, while shares have fallen over 27% in the last year.

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