{"id":195635,"date":"2024-06-28T10:00:00","date_gmt":"2024-06-28T14:00:00","guid":{"rendered":"https:\/\/ibkrcampus.eu\/uncategorized\/nike-stumbles-as-gloomy-forecast-sends-shares-sprinting-downward\/"},"modified":"2024-07-01T09:24:25","modified_gmt":"2024-07-01T09:24:25","slug":"nike-stumbles-as-gloomy-forecast-sends-shares-sprinting-downward","status":"publish","type":"post","link":"https:\/\/www.interactivebrokers.eu\/campus\/traders-insight\/securities\/stocks\/nike-stumbles-as-gloomy-forecast-sends-shares-sprinting-downward\/","title":{"rendered":"Nike Stumbles as Gloomy Forecast Sends Shares Sprinting Downward"},"content":{"rendered":"\n

Nike’s fourth-quarter earnings report revealed mixed results, with the company beating earnings expectations but falling short on revenue.<\/strong><\/p>\n\n\n\n

Nike, Inc. (NYSE: NKE<\/span>) reported its fourth-quarter earnings<\/a> for fiscal year 2024, revealing mixed results and a disappointing forecast that sent shares tumbling in after-hours trading<\/a>. The sportswear giant beat earnings expectations but fell short on revenue, signaling challenges ahead for the world\u2019s largest athletic apparel company.<\/p>\n\n\n\n

Nike\u2019s Q4 Earnings and Fiscal Year 2024 Results<\/h3>\n\n\n\n

Nike reported adjusted earnings per share<\/a> of $1.01, surpassing analyst expectations of 83 cents. However, revenue for the quarter came in at $12.61 billion, falling short of the anticipated $12.84 billion and representing a 2% decline from the previous year. Net income for the quarter rose to $1.5 billion, or 99 cents per share, compared to $1.03 billion, or 66 cents per share, a year earlier.<\/p>\n\n\n\n

For the full fiscal year 2024, Nike\u2019s sales remained flat at $51.36 billion. The company saw mixed results across its global markets, with China sales exceeding expectations at $1.86 billion, while North America, Europe, Middle East and Africa, and Asia Pacific and Latin America regions all fell short of projections.<\/p>\n\n\n\n

More importantly, Nike\u2019s direct-to-consumer revenues declined 8% to $5.1 billion, while wholesale revenue increased 5% to $7.1 billion. The Converse brand, owned by Nike, experienced a significant 18% drop in revenue to $480 million.<\/p>\n\n\n\n

Nike Shares Plunge on Firm\u2019s Weak Sales Forecast<\/h3>\n\n\n\n

Nike\u2019s outlook for the coming quarters has alarmed investors and analysts alike. The company expects sales to drop 10% during its current quarter (Q1 fiscal 2025), far exceeding the 3.2% decline analysts had anticipated. For the full fiscal year 2025, Nike forecasts sales to be down in the mid-single digits, a stark contrast to previous growth expectations.<\/p>\n\n\n\n

The sportswear giant cited several factors contributing to its gloomy forecast, including slower online sales, planned declines in classic footwear franchises, increased uncertainty in the Chinese market, and uneven consumer trends across its markets.

Nike also faces growing competition from upstart rivals like On Running and Hoka and a potential shift in consumer preferences towards denim and dressier styles.<\/p>\n\n\n\n

In response to the disappointing forecast, Nike\u2019s shares plunged approximately 11-12% in after-hours trading, potentially leading to a $15 billion loss in market value. As of 6:42 AM EDT in pre-market trading, the stock was down 14.49% to $80.54.<\/p>\n\n\n\n

Despite the current challenges, Nike maintains a market capitalization of $142.167 billion and remains a favorite among analysts. However, the company\u2019s year-to-date return of -12.59% significantly underperforms\u00a0the S&P 500\u2019s<\/a>\u00a014.95% gain, highlighting Nike\u2019s hurdles in regaining its market momentum.<\/p>\n\n\n\n

—<\/p>\n\n\n\n

Originally Posted June 28, 2024 – Nike Stumbles as Gloomy Forecast Sends Shares Sprinting Downward<\/a><\/p>\n\n\n\n

Disclaimer: The author does not hold or have a position in any securities discussed in the article.<\/em><\/p>\n","protected":false},"excerpt":{"rendered":"

Nike’s fourth-quarter earnings report revealed mixed results, with the company beating earnings expectations but falling short on revenue.<\/p>\n","protected":false},"author":501,"featured_media":0,"comment_status":"open","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"_acf_changed":false,"footnotes":""},"categories":[147,8,12,153,148,7],"tags":[],"contributors-categories":[326],"class_list":{"0":"post-195635","1":"post","2":"type-post","3":"status-publish","4":"format-standard","6":"category-north-america","7":"category-region","8":"category-securities","9":"category-stocks","10":"category-text-articles","11":"category-traders-insight","12":"contributors-categories-the-tokenist"},"pp_statuses_selecting_workflow":false,"pp_workflow_action":"current","pp_status_selection":"publish","acf":[],"yoast_head":"\nNike Stumbles as Gloomy Forecast Sends Shares Sprinting Downward<\/title>\n<meta name=\"description\" content=\"Nike's fourth-quarter earnings report revealed mixed results, with the company beating earnings expectations but falling short on revenue.\" \/>\n<meta name=\"robots\" content=\"index, follow, max-snippet:-1, max-image-preview:large, max-video-preview:-1\" \/>\n<link rel=\"canonical\" href=\"https:\/\/www.interactivebrokers.com\/campus\/wp-json\/wp\/v2\/posts\/195635\/\" \/>\n<meta property=\"og:locale\" content=\"en_US\" \/>\n<meta property=\"og:type\" content=\"article\" \/>\n<meta property=\"og:title\" content=\"Nike Stumbles as Gloomy Forecast Sends Shares Sprinting Downward\" \/>\n<meta property=\"og:description\" content=\"Nike's fourth-quarter earnings report revealed mixed results, with the company beating earnings expectations but falling short on revenue.\" \/>\n<meta property=\"og:url\" content=\"https:\/\/www.interactivebrokers.eu\/campus\/traders-insight\/securities\/stocks\/nike-stumbles-as-gloomy-forecast-sends-shares-sprinting-downward\/\" \/>\n<meta property=\"og:site_name\" content=\"IBKR Campus EU\" \/>\n<meta property=\"article:published_time\" content=\"2024-06-28T14:00:00+00:00\" \/>\n<meta property=\"article:modified_time\" content=\"2024-07-01T09:24:25+00:00\" \/>\n<meta name=\"author\" content=\"Tim Fries\" \/>\n<meta name=\"twitter:card\" content=\"summary_large_image\" \/>\n<meta name=\"twitter:label1\" content=\"Written by\" \/>\n\t<meta name=\"twitter:data1\" content=\"Tim Fries\" \/>\n\t<meta name=\"twitter:label2\" content=\"Est. reading time\" \/>\n\t<meta name=\"twitter:data2\" content=\"3 minutes\" \/>\n<script type=\"application\/ld+json\" class=\"yoast-schema-graph\">{\n\t \"@context\": \"https:\\\/\\\/schema.org\",\n\t \"@graph\": [\n\t {\n\t \"@type\": \"Article\",\n\t \"@id\": \"https:\\\/\\\/www.interactivebrokers.eu\\\/campus\\\/traders-insight\\\/securities\\\/stocks\\\/nike-stumbles-as-gloomy-forecast-sends-shares-sprinting-downward\\\/#article\",\n\t \"isPartOf\": {\n\t \"@id\": \"https:\\\/\\\/www.interactivebrokers.eu\\\/campus\\\/traders-insight\\\/securities\\\/stocks\\\/nike-stumbles-as-gloomy-forecast-sends-shares-sprinting-downward\\\/\"\n\t },\n\t \"author\": {\n\t \"name\": \"Tim Fries\",\n\t \"@id\": \"https:\\\/\\\/ibkrcampus.eu\\\/campus\\\/#\\\/schema\\\/person\\\/8aec5ebeb263dcb77586039ad857f7ae\"\n\t },\n\t \"headline\": \"Nike Stumbles as Gloomy Forecast Sends Shares Sprinting Downward\",\n\t \"datePublished\": \"2024-06-28T14:00:00+00:00\",\n\t \"dateModified\": \"2024-07-01T09:24:25+00:00\",\n\t \"mainEntityOfPage\": {\n\t \"@id\": \"https:\\\/\\\/www.interactivebrokers.eu\\\/campus\\\/traders-insight\\\/securities\\\/stocks\\\/nike-stumbles-as-gloomy-forecast-sends-shares-sprinting-downward\\\/\"\n\t },\n\t \"wordCount\": 453,\n\t \"commentCount\": 0,\n\t \"articleSection\": [\n\t \"North America\",\n\t \"Region\",\n\t \"Securities\",\n\t \"Stocks\",\n\t \"Text Articles\",\n\t \"Traders' Insight\"\n\t ],\n\t \"inLanguage\": \"en-US\",\n\t \"potentialAction\": [\n\t {\n\t \"@type\": \"CommentAction\",\n\t \"name\": \"Comment\",\n\t \"target\": [\n\t \"https:\\\/\\\/www.interactivebrokers.eu\\\/campus\\\/traders-insight\\\/securities\\\/stocks\\\/nike-stumbles-as-gloomy-forecast-sends-shares-sprinting-downward\\\/#respond\"\n\t ]\n\t }\n\t ]\n\t },\n\t {\n\t \"@type\": \"WebPage\",\n\t \"@id\": \"https:\\\/\\\/www.interactivebrokers.eu\\\/campus\\\/traders-insight\\\/securities\\\/stocks\\\/nike-stumbles-as-gloomy-forecast-sends-shares-sprinting-downward\\\/\",\n\t \"url\": \"https:\\\/\\\/www.interactivebrokers.eu\\\/campus\\\/traders-insight\\\/securities\\\/stocks\\\/nike-stumbles-as-gloomy-forecast-sends-shares-sprinting-downward\\\/\",\n\t \"name\": \"Nike Stumbles as Gloomy Forecast Sends Shares Sprinting Downward - IBKR Campus EU\",\n\t \"isPartOf\": {\n\t \"@id\": \"https:\\\/\\\/ibkrcampus.eu\\\/campus\\\/#website\"\n\t },\n\t \"datePublished\": \"2024-06-28T14:00:00+00:00\",\n\t \"dateModified\": \"2024-07-01T09:24:25+00:00\",\n\t \"author\": {\n\t \"@id\": \"https:\\\/\\\/ibkrcampus.eu\\\/campus\\\/#\\\/schema\\\/person\\\/8aec5ebeb263dcb77586039ad857f7ae\"\n\t },\n\t \"description\": \"Nike's fourth-quarter earnings report revealed mixed results, with the company beating earnings expectations but falling short on revenue.\",\n\t \"breadcrumb\": {\n\t \"@id\": \"https:\\\/\\\/www.interactivebrokers.eu\\\/campus\\\/traders-insight\\\/securities\\\/stocks\\\/nike-stumbles-as-gloomy-forecast-sends-shares-sprinting-downward\\\/#breadcrumb\"\n\t },\n\t \"inLanguage\": \"en-US\",\n\t \"potentialAction\": [\n\t {\n\t \"@type\": \"ReadAction\",\n\t \"target\": [\n\t \"https:\\\/\\\/www.interactivebrokers.eu\\\/campus\\\/traders-insight\\\/securities\\\/stocks\\\/nike-stumbles-as-gloomy-forecast-sends-shares-sprinting-downward\\\/\"\n\t ]\n\t }\n\t ]\n\t },\n\t {\n\t \"@type\": \"BreadcrumbList\",\n\t \"@id\": \"https:\\\/\\\/www.interactivebrokers.eu\\\/campus\\\/traders-insight\\\/securities\\\/stocks\\\/nike-stumbles-as-gloomy-forecast-sends-shares-sprinting-downward\\\/#breadcrumb\",\n\t \"itemListElement\": [\n\t {\n\t \"@type\": \"ListItem\",\n\t \"position\": 1,\n\t \"name\": \"Home\",\n\t \"item\": \"https:\\\/\\\/www.interactivebrokers.eu\\\/campus\\\/\"\n\t },\n\t {\n\t \"@type\": \"ListItem\",\n\t \"position\": 2,\n\t \"name\": \"Nike Stumbles as Gloomy Forecast Sends Shares Sprinting Downward\"\n\t }\n\t ]\n\t },\n\t {\n\t \"@type\": \"WebSite\",\n\t \"@id\": \"https:\\\/\\\/ibkrcampus.eu\\\/campus\\\/#website\",\n\t \"url\": \"https:\\\/\\\/ibkrcampus.eu\\\/campus\\\/\",\n\t \"name\": \"IBKR Campus EU\",\n\t \"description\": \"\",\n\t \"potentialAction\": [\n\t {\n\t \"@type\": \"SearchAction\",\n\t \"target\": {\n\t \"@type\": \"EntryPoint\",\n\t \"urlTemplate\": \"https:\\\/\\\/ibkrcampus.eu\\\/campus\\\/?s={search_term_string}\"\n\t },\n\t \"query-input\": {\n\t \"@type\": \"PropertyValueSpecification\",\n\t \"valueRequired\": true,\n\t \"valueName\": \"search_term_string\"\n\t }\n\t }\n\t ],\n\t \"inLanguage\": \"en-US\"\n\t },\n\t {\n\t \"@type\": \"Person\",\n\t \"@id\": \"https:\\\/\\\/ibkrcampus.eu\\\/campus\\\/#\\\/schema\\\/person\\\/8aec5ebeb263dcb77586039ad857f7ae\",\n\t \"name\": \"Tim Fries\",\n\t \"description\": \"Tim Fries is a managing director at Lakeview Capital, adviser to the founders and head of U.S. business development. He has a B.Sc. in Mechanical Engineering from the University of Michigan and an MBA from the University of Chicago Booth School of Business. Tim is also the co-founder of Protective Technologies Capital (protechcap.com) and Lakeview Capital, as well as the co-founder of the financial education site The Tokenist. Prior to founding Protective Technologies, Tim was a member of Baird Capital's global Industrial Solutions private equity team. He writes on topics related to wealth management, private capital market investing and trends in the convergence of finance and technology (i.e. FinTech).\",\n\t \"url\": \"https:\\\/\\\/www.interactivebrokers.eu\\\/campus\\\/author\\\/tim-fries\\\/\"\n\t }\n\t ]\n\t}<\/script>\n<!-- \/ Yoast SEO Premium plugin. -->","yoast_head_json":{"title":"Nike Stumbles as Gloomy Forecast Sends Shares Sprinting Downward","description":"Nike's fourth-quarter earnings report revealed mixed results, with the company beating earnings expectations but falling short on revenue.","robots":{"index":"index","follow":"follow","max-snippet":"max-snippet:-1","max-image-preview":"max-image-preview:large","max-video-preview":"max-video-preview:-1"},"canonical":"https:\/\/www.interactivebrokers.com\/campus\/wp-json\/wp\/v2\/posts\/195635\/","og_locale":"en_US","og_type":"article","og_title":"Nike Stumbles as Gloomy Forecast Sends Shares Sprinting Downward","og_description":"Nike's fourth-quarter earnings report revealed mixed results, with the company beating earnings expectations but falling short on revenue.","og_url":"https:\/\/www.interactivebrokers.eu\/campus\/traders-insight\/securities\/stocks\/nike-stumbles-as-gloomy-forecast-sends-shares-sprinting-downward\/","og_site_name":"IBKR Campus EU","article_published_time":"2024-06-28T14:00:00+00:00","article_modified_time":"2024-07-01T09:24:25+00:00","author":"Tim Fries","twitter_card":"summary_large_image","twitter_misc":{"Written by":"Tim Fries","Est. reading time":"3 minutes"},"schema":{"@context":"https:\/\/schema.org","@graph":[{"@type":"Article","@id":"https:\/\/www.interactivebrokers.eu\/campus\/traders-insight\/securities\/stocks\/nike-stumbles-as-gloomy-forecast-sends-shares-sprinting-downward\/#article","isPartOf":{"@id":"https:\/\/www.interactivebrokers.eu\/campus\/traders-insight\/securities\/stocks\/nike-stumbles-as-gloomy-forecast-sends-shares-sprinting-downward\/"},"author":{"name":"Tim Fries","@id":"https:\/\/ibkrcampus.eu\/campus\/#\/schema\/person\/8aec5ebeb263dcb77586039ad857f7ae"},"headline":"Nike Stumbles as Gloomy Forecast Sends Shares Sprinting Downward","datePublished":"2024-06-28T14:00:00+00:00","dateModified":"2024-07-01T09:24:25+00:00","mainEntityOfPage":{"@id":"https:\/\/www.interactivebrokers.eu\/campus\/traders-insight\/securities\/stocks\/nike-stumbles-as-gloomy-forecast-sends-shares-sprinting-downward\/"},"wordCount":453,"commentCount":0,"articleSection":["North America","Region","Securities","Stocks","Text Articles","Traders' Insight"],"inLanguage":"en-US","potentialAction":[{"@type":"CommentAction","name":"Comment","target":["https:\/\/www.interactivebrokers.eu\/campus\/traders-insight\/securities\/stocks\/nike-stumbles-as-gloomy-forecast-sends-shares-sprinting-downward\/#respond"]}]},{"@type":"WebPage","@id":"https:\/\/www.interactivebrokers.eu\/campus\/traders-insight\/securities\/stocks\/nike-stumbles-as-gloomy-forecast-sends-shares-sprinting-downward\/","url":"https:\/\/www.interactivebrokers.eu\/campus\/traders-insight\/securities\/stocks\/nike-stumbles-as-gloomy-forecast-sends-shares-sprinting-downward\/","name":"Nike Stumbles as Gloomy Forecast Sends Shares Sprinting Downward - IBKR Campus EU","isPartOf":{"@id":"https:\/\/ibkrcampus.eu\/campus\/#website"},"datePublished":"2024-06-28T14:00:00+00:00","dateModified":"2024-07-01T09:24:25+00:00","author":{"@id":"https:\/\/ibkrcampus.eu\/campus\/#\/schema\/person\/8aec5ebeb263dcb77586039ad857f7ae"},"description":"Nike's fourth-quarter earnings report revealed mixed results, with the company beating earnings expectations but falling short on revenue.","breadcrumb":{"@id":"https:\/\/www.interactivebrokers.eu\/campus\/traders-insight\/securities\/stocks\/nike-stumbles-as-gloomy-forecast-sends-shares-sprinting-downward\/#breadcrumb"},"inLanguage":"en-US","potentialAction":[{"@type":"ReadAction","target":["https:\/\/www.interactivebrokers.eu\/campus\/traders-insight\/securities\/stocks\/nike-stumbles-as-gloomy-forecast-sends-shares-sprinting-downward\/"]}]},{"@type":"BreadcrumbList","@id":"https:\/\/www.interactivebrokers.eu\/campus\/traders-insight\/securities\/stocks\/nike-stumbles-as-gloomy-forecast-sends-shares-sprinting-downward\/#breadcrumb","itemListElement":[{"@type":"ListItem","position":1,"name":"Home","item":"https:\/\/www.interactivebrokers.eu\/campus\/"},{"@type":"ListItem","position":2,"name":"Nike Stumbles as Gloomy Forecast Sends Shares Sprinting Downward"}]},{"@type":"WebSite","@id":"https:\/\/ibkrcampus.eu\/campus\/#website","url":"https:\/\/ibkrcampus.eu\/campus\/","name":"IBKR Campus EU","description":"","potentialAction":[{"@type":"SearchAction","target":{"@type":"EntryPoint","urlTemplate":"https:\/\/ibkrcampus.eu\/campus\/?s={search_term_string}"},"query-input":{"@type":"PropertyValueSpecification","valueRequired":true,"valueName":"search_term_string"}}],"inLanguage":"en-US"},{"@type":"Person","@id":"https:\/\/ibkrcampus.eu\/campus\/#\/schema\/person\/8aec5ebeb263dcb77586039ad857f7ae","name":"Tim Fries","description":"Tim Fries is a managing director at Lakeview Capital, adviser to the founders and head of U.S. business development. He has a B.Sc. in Mechanical Engineering from the University of Michigan and an MBA from the University of Chicago Booth School of Business. Tim is also the co-founder of Protective Technologies Capital (protechcap.com) and Lakeview Capital, as well as the co-founder of the financial education site The Tokenist. Prior to founding Protective Technologies, Tim was a member of Baird Capital's global Industrial Solutions private equity team. He writes on topics related to wealth management, private capital market investing and trends in the convergence of finance and technology (i.e. FinTech).","url":"https:\/\/www.interactivebrokers.eu\/campus\/author\/tim-fries\/"}]}},"jetpack_featured_media_url":"","_links":{"self":[{"href":"https:\/\/ibkrcampus.eu\/campus\/wp-json\/wp\/v2\/posts\/195635","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/ibkrcampus.eu\/campus\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/ibkrcampus.eu\/campus\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/ibkrcampus.eu\/campus\/wp-json\/wp\/v2\/users\/501"}],"replies":[{"embeddable":true,"href":"https:\/\/ibkrcampus.eu\/campus\/wp-json\/wp\/v2\/comments?post=195635"}],"version-history":[{"count":0,"href":"https:\/\/ibkrcampus.eu\/campus\/wp-json\/wp\/v2\/posts\/195635\/revisions"}],"wp:attachment":[{"href":"https:\/\/ibkrcampus.eu\/campus\/wp-json\/wp\/v2\/media?parent=195635"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/ibkrcampus.eu\/campus\/wp-json\/wp\/v2\/categories?post=195635"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/ibkrcampus.eu\/campus\/wp-json\/wp\/v2\/tags?post=195635"},{"taxonomy":"contributors-categories","embeddable":true,"href":"https:\/\/ibkrcampus.eu\/campus\/wp-json\/wp\/v2\/contributors-categories?post=195635"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}