Citigroup Issues Pessimistic Forecast for NIKE (NYSE:NKE) Stock Price

Key Points

• Citigroup cut NIKE’s price target from $39 to $32 while maintaining a neutral rating, implying roughly 4.7% downside from the prior close. Goldman Sachs, Baird and Bank of America also lowered their targets, with analysts’ consensus rating remaining “Hold.”
• NIKE shares fell 4.5% to $33.57 and are near their 12-month low, reflecting ongoing investor concerns about the company’s turnaround and weak performance in Greater China, Sportswear and Jordan.
• Although quarterly EPS of $0.48 exceeded estimates, revenue declined 4.3% year over year to $11.21 billion and missed expectations. Management forecast fiscal 2027 revenue to fall by a high-single-digit percentage and EPS of $1.15–$1.35, while launching a restructuring program targeting about $2.5 billion in savings.

NIKE (NYSE:NKE - Get Free Report) had its price target decreased by Citigroup from $39.00 to $32.00 in a research note issued to investors on Friday, Benzinga reports. The firm currently has a "neutral" rating on the footwear maker's stock. Citigroup's price objective would indicate a potential downside of 4.67% from the stock's previous close.

A number of other equities research analysts have also recently weighed in on NKE. The Goldman Sachs Group restated a "neutral" rating and issued a $30.00 price target (down from $38.00) on shares of NIKE in a research note on Friday. Robert W. Baird reduced their target price on shares of NIKE from $44.00 to $36.00 and set a "neutral" rating for the company in a report on Friday. Oppenheimer set a $52.00 price target on shares of NIKE and gave the company an "outperform" rating in a report on Wednesday, September 23rd. Raymond James Financial restated a "market perform" rating on shares of NIKE in a report on Tuesday. Finally, Bank of America reiterated an "underperform" rating and set a $24.00 target price (down from $30.00) on shares of NIKE in a research note on Friday. One investment analyst has rated the stock with a Strong Buy rating, eight have given a Buy rating, twenty-two have assigned a Hold rating and seven have assigned a Sell rating to the company's stock. Based on data from MarketBeat.com, the stock has a consensus rating of "Hold" and a consensus price target of $41.86.

NIKE Stock Down 4.5%

NKE traded down $1.58 during trading on Friday, reaching $33.57. 103,171,494 shares of the stock were exchanged, compared to its average volume of 23,907,123. The company has a debt-to-equity ratio of 0.40, a quick ratio of 1.36 and a current ratio of 1.96. The stock's 50 day moving average price is $39.04 and its two-hundred day moving average price is $42.94. NIKE has a twelve month low of $31.97 and a twelve month high of $74.78. The stock has a market cap of $49.80 billion, a P/E ratio of 16.00, a price-to-earnings-growth ratio of 2.43 and a beta of 1.09.

NIKE (NYSE:NKE - Get Free Report) last announced its quarterly earnings data on Thursday, October 1st. The footwear maker reported $0.48 EPS for the quarter, beating analysts' consensus estimates of $0.43 by $0.05. The company had revenue of $11.21 billion during the quarter, compared to the consensus estimate of $11.32 billion. NIKE had a net margin of 6.70% and a return on equity of 16.54%. The company's quarterly revenue was down 4.3% on a year-over-year basis. During the same quarter last year, the firm posted $0.49 EPS. NIKE has set its FY 2027 guidance at 1.150-1.350 EPS. Equities analysts expect that NIKE will post 1.61 EPS for the current year.

Insiders Place Their Bets

In related news, insider Amy Montagne sold 4,867 shares of the stock in a transaction that occurred on Friday, August 7th. The stock was sold at an average price of $42.05, for a total transaction of $204,657.35. Following the completion of the sale, the insider directly owned 57,436 shares of the company's stock, valued at approximately $2,415,183.80. This trade represents a 7.81% decrease in their ownership of the stock. The sale was disclosed in a legal filing with the SEC, which can be accessed through this link. Also, EVP Philip McCartney sold 2,559 shares of the business's stock in a transaction dated Wednesday, September 9th. The stock was sold at an average price of $37.59, for a total transaction of $96,192.81. Following the completion of the transaction, the executive vice president directly owned 78,121 shares in the company, valued at $2,936,568.39. This trade represents a 3.17% decrease in their ownership of the stock. The SEC filing for this sale provides additional information. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Insiders have sold 14,974 shares of company stock worth $600,126 over the last 90 days. 1.10% of the stock is currently owned by corporate insiders.

Institutional Inflows and Outflows

A number of hedge funds have recently bought and sold shares of NKE. J. Stern & Co. LLP raised its stake in shares of NIKE by 49,010.4% during the 4th quarter. J. Stern & Co. LLP now owns 48,054,542 shares of the footwear maker's stock valued at $3,061,555,000 after purchasing an additional 47,956,692 shares during the period. Flossbach Von Storch SE bought a new position in NIKE in the 2nd quarter worth about $488,714,000. Capital World Investors grew its holdings in NIKE by 16.2% during the 4th quarter. Capital World Investors now owns 49,069,951 shares of the footwear maker's stock valued at $3,126,246,000 after buying an additional 6,830,938 shares in the last quarter. State Street Corp grew its holdings in NIKE by 6.8% during the 2nd quarter. State Street Corp now owns 63,598,789 shares of the footwear maker's stock valued at $2,636,104,000 after buying an additional 4,052,428 shares in the last quarter. Finally, Capital International Investors increased its position in shares of NIKE by 83.3% during the fourth quarter. Capital International Investors now owns 7,642,382 shares of the footwear maker's stock valued at $486,895,000 after buying an additional 3,472,515 shares during the period. 64.25% of the stock is currently owned by hedge funds and other institutional investors.

Trending Headlines about NIKE

Here are the key news stories impacting NIKE this week:

• Positive Sentiment: NIKE reported fiscal first-quarter adjusted earnings of $0.48 per share, above the $0.43 analyst consensus. Management also introduced the Pace restructuring program, targeting approximately $2.5 billion in savings, which could improve efficiency over time. NIKE fiscal 2027 first-quarter results
• Positive Sentiment: Demand for new products remains a potential catalyst: Nike’s Caitlin 1 signature shoe reportedly approached a sellout shortly after launch. The dividend yield has also risen to nearly 5% following the stock’s prolonged decline, potentially attracting income-focused investors. Nike Caitlin 1 shoe sales
• Neutral Sentiment: Analyst opinion remains divided. BTIG maintained a Buy rating despite lowering its target to $50, while Baird, Stifel and Needham retained neutral or Hold views with reduced targets. JPMorgan moved to Underweight and cut its target to $33, reflecting limited confidence in a near-term recovery.
• Negative Sentiment: Quarterly revenue fell 4.3% year over year to $11.21 billion, missing the $11.32 billion consensus. The larger concern was fiscal 2027 guidance: management expects revenue to decline by a high-single-digit percentage and adjusted EPS of $1.15–$1.35, well below analysts’ roughly $1.66 estimate. Nike sales forecast and job cuts
• Negative Sentiment: Management warned that Greater China, Sportswear and Jordan remain under pressure as local competitors and changing consumer preferences weigh on demand. Additional layoffs and restructuring plans reinforce investor concerns that the turnaround is worsening before it improves.

NIKE Company Profile

NIKE, Inc is a global sportswear company that designs, develops, markets and sells athletic footwear, apparel, equipment, accessories and related services. Its products are marketed under the NIKE, Jordan and Converse brands and are used across a broad range of sports and lifestyle activities, including running, basketball, football, training and outdoor pursuits.

The company distributes its products through a combination of wholesale partners, NIKE-owned retail stores and digital platforms.

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