What's Going On With Nike Shares?

Nike Inc NKE shares are trading lower by roughly 1.13% to $101.70 Tuesday morning. Shares of athletic apparel and equipment stocks are trading lower after Dick's Sporting Goods lowered its guidance.

Nike is a major supplier of athletic apparel and footwear to Dick's Sporting Goods. If Dick's forecasts lower sales and reduced consumer demand, it might lead to lower orders from Nike. This decrease in Nike's business with Dick's could potentially affect Nike's revenue and earnings, leading to a negative market reaction.

What Happened?

Dick's Q2 sales grew 3.6% Y/Y to $3.22 billion, missing the analyst consensus of $3.23 billion.

Comparable store sales increased 1.8% versus a 5.1% decline a year ago.

Gross profit margin contracted 160 basis points Y/Y to 34.4%. The operating margin contracted 510 basis points to 9.7%, and operating income for the quarter fell 32.3% Y/Y to $311.8 million...Read More

According to data from Benzinga Pro, Nike has a 52-week high of $131.31 and a 52-week low of $82.22.