Nike Hits 52-Week Low: Can The Swoosh Rebound?
Portfolio Pulse from Surbhi Jain
Nike Inc. (NYSE:NKE) has hit a new 52-week low, trading at $74.55. The stock is down 33.32% year-over-year and 30.58% year-to-date. The decline follows a disappointing Q4 earnings call, where Nike projected a mid-single-digit revenue decline for fiscal 2025 and a 10% drop in Q1 revenue. Analysts have slashed their price targets, but the average target still suggests a 35% upside. Technical indicators are bearish, with the stock trading below key moving averages and an RSI of 18.07 indicating it is oversold. Despite the challenges, Nike's strong brand could help it rebound.
July 01, 2024 | 12:59 pm
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Nike Inc. (NYSE:NKE) has hit a new 52-week low at $74.55, down 33.32% year-over-year and 30.58% year-to-date. The decline follows a disappointing Q4 earnings call, where Nike projected a mid-single-digit revenue decline for fiscal 2025 and a 10% drop in Q1 revenue. Analysts have slashed their price targets, but the average target still suggests a 35% upside. Technical indicators are bearish, with the stock trading below key moving averages and an RSI of 18.07 indicating it is oversold. Despite the challenges, Nike's strong brand could help it rebound.
Nike's stock has been significantly impacted by a disappointing Q4 earnings call and a bearish technical outlook. The projected revenue decline and lowered analyst price targets contribute to the negative sentiment. However, the strong brand and potential for a rebound provide some hope for recovery.
CONFIDENCE 90
IMPORTANCE 100
RELEVANCE 100