Nike Needs A Turnaround After Q2 Results Are Released This Week: Will New CEO 'Just Do It?'

Analysts are weighing in with forecasts and expectations for Nike, Inc. NKE ahead of its second-quarter financial report due after Thursday's closing bell.

Expert Ideas: Wall Street and investors will be watching new Nike CEO Elliot Hill who assumed the position on Oct. 14 and will be hosting his first Nike earnings call on Thursday evening. 

Telsey Advisory Group analyst Cristina Fernandez said the firm is looking to hear more about Nike's product innovation pipeline and changes in its distribution strategy, including a return to wholesale partners. 

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The Nike brand will likely make a turnaround in the next year as Hill's changes and brand innovations play out, she said.  

"Overall, Nike is in a period of transition and a return to growth could take a few quarters," Fernandez wrote.

The Telsey Advisory Group analyst maintained Nike with an Outperform, but lowered the price target from $96 to $93 ahead of earnings.

Deutsche Bank analyst Krisztina Katai expects Nike's negative earnings revisions to end in fiscal 2025 and the company returning to growth in fiscal 2026. Katai said the firm is encouraged by a slate of new products, including Nike's new road running footwear line-up, and the company's wholesale rebuild. 

Katai maintained Nike with a Buy rating and lowered the price target from $92 to $82.

More Analysts: 

• Evercore ISI Group analyst Michael Binetti maintained an Outperform rating and lowered the price target from $105 to $97 on Nike stock. 
• Wells Fargo analyst Ike Boruchow maintained Nike with an Overweight and lowered the price target from $95 to $92.

Nike will report its second-quarter financial results after Thursday's closing bell and host a conference call to discuss the results at 5 p.m. ET the same day. According to data from Benzinga Pro, the Street's consensus estimates are for earnings of 64 cents per share on revenue of $12.175 billion for Nike's second quarter. 

Price Action: According to data from Benzinga Pro, Nike shares are up % at $ at the time of publication Monday. 

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