Nike's revenue declined by 1% in the fourth quarter. The company received a boost from tariff refunds, resulting in a significant but temporary improvement in the bottom line.
Nike ( NKE ) shares continue to slide for one primary reason which the Zacks Rank has warned investors about for the past two years: persistent downward EPS estimate revisions by Wall Street analysts. In just the past few months the consensus EPS estimate for FY 2027 (ends May) has declined by 20% from $2.00 to $1.80.
On CNBC's “Halftime Report Final Trades,” Capital Wealth Planning founder Kevin Simpson named Alphabet Inc (NASDAQ:GOOGL) (NASDAQ:GOOG) as his final trade.
Nike is still navigating challenges in growing sales, with revenue down 1% year over year last quarter. Over the last year, Nike paid out significantly more in dividends than it generated in free cash flow.