Nike Stock Hits 52-Week Low As Analyst Warns Bullish Turnaround 'Will Take Time'

Nike Inc NKE analysts provide a cautious tone for the apparel company's turnaround and short-term growth after the company's third-quarter financial results.

The Nike Analysts:

Stifel analyst Jim Duffy maintained a Hold rating on Nike with a $75 price target.
Goldman Sachs analyst Brooke Roach maintained a Buy rating and lowered the price target from $90 to $88.
Needham analyst Tom Nikic maintained a Buy rating and lowered the price target from $80 to $75.
Telsey analyst Cristina Fernandez maintained a Market Perform rating with a $80 price target.
Oppenheimer analyst Brian Nagel maintained an Outperform rating with a $120 price target.

Stifel on NKE: Nike's return to growth could be several quarters away, Duffy said in a new investor note.

"Strategically, the marketplace cleanup is on track, though we expect a return to healthy growth to take several quarters before positive revenue inflection," Duffy said.

The analyst said China remains a challenge for Nike.

While Nike has a "market-leading position," Duffy said the company is in the "middle innings" of a cleanup with no upside at current levels.

"At the current multiple, we believe a return to growth and margin improvement is discounted in shares suggesting risk/reward largely in balance at current levels."

Goldman Sachs on NKE: The apparel company's strategy is on track, Roach said in a new investor note.

"We believe today's results provided fodder for both bulls and bears in the quarter, and thus expect the stock to remain heavily debated going forward," Roach said.

The analyst said Nike is "early in its turnaround journey."

Roach said management's commentary showed pressure on the company to develop new products, reposition the Nike digital marketplace, clean up inventory, and reset its wholesale business.

"We continue to believe that NKE's strategic actions are the appropriate moves to reset Nike to return to future growth."

Needham on NKE: The apparel company's strategy of "win now" could be working, but a return to growth is moving later and later, Nikic said in a new investor note.

"We continue to have confidence in CEO Elliott Hill, but it will take time for the bull thesis to play out," Nikic said.

One of the analyst's key concerns is inventory with Nike saying it was working with retailers to take back unsold inventory to make room for new products. This could lead to a large headwind in the fourth quarter before things get better in fiscal 2026.

The analyst said gross margins are seeing big pressure in the near-term and could decline further in the fourth quarter.

"This one-time darling of investors has clearly been off its game in recent years, but we believe that the worst may nearly be over."

Nikic said Nike could be a "compelling story stock" in 2025 if the stock finds a bottom.

Telsey on NKE: Third quarter results were better than expected but were offset by weak guidance and management commentary, Fernandez said in a new investor note.

"We believe Nike is making the right moves by cleaning up inventory, rebalancing the product portfolio by increasing newness and reducing the focus on classic franchises, and strengthening relationships with wholesale partners, but the brand is still several quarters away from reaching stabilization," Fernandez said.

The analyst said management commentary suggests more profit headwinds and struggles ahead.

Nike sales in Greater China were down 15% year-over-year in constant currency in the quarter. The analyst said China's macroeconomic environment remains challenging and Nike is seeing more competition.

Oppenheimer on NKE: A recovery for the apparel company is "taking shape," Nagel said in a new investor note.

The analyst said the third-quarter results were better than expected.

"While results at NKE continue to track weak, we believe that underlying trends at the company are starting to improve and set up for a potentially meaningful rebound, in coming quarters," Nagel said.

NKE Price Action: Nike stock is down 5.3% to $68.04 on Friday, hitting new 52-week lows of $65.17 earlier in the day's trading session. Nike stock is down 9.4% year-to-date in 2025 and down 34% over the last year.

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