Nike’s Turnaround Draws Wall Street’s Praise – Check Out The New Price Targets

Nike Inc. (NKE) received a revised price target from Stifel, which increased its price target to $68 from $64, while maintaining a ‘Hold’ recommendation on the stock.

Stifel cited encouraging signs in Nike’s latest quarterly results, highlighting the company's return to top-line growth and a better-than-expected first quarter (Q1) performance as indicators that its business turnaround may be gaining traction, according to TheFly. 

In Q1, Nike’s revenue of $11.72 billion and earnings per share (EPS) of $0.49 both surpassed the analysts’ consensus estimate of $10.98 billion and $0.27, respectively, according to Fiscal AI data. Still, the firm cautioned that the company’s recovery path is unlikely to be smooth, describing it as “non-linear.”

Piper Sandler also raised its price target on the stock to $84 from $80 and reiterated a ‘Overweight’ rating. Analyst Anna Andreeva emphasized that Nike’s 1% sales increase came two quarters ahead of internal guidance, with three out of four regions showing positive sales trends. While China sales remained down 10%, the result was more favorable than feared, the firm stated.

Nike stock traded over 3% higher in Wednesday’s premarket and was among the top five trending equity tickers on Stocktwits. Retail sentiment around the stock remained ‘extremely bullish’ amid ‘extremely high’ message volume levels. 

JPMorgan lifted its price target on the stock to $100 from $93 and kept an ‘Overweight’ rating. The firm stated that Nike’s results exceeded expectations across all key financial metrics, noting that the stock offers an attractive risk-reward profile at current levels.

Nike stock has lost over 7% year-to-date and over 21% in the last 12 months. 

Also See: Retail Traders Brace For Sharp Market Pullback As Clock Ticks For Government Shutdown After Stopgap Funding Bill Fails To Clear Senate

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