Nike Inc. (NYSE:NKE) is set to release its fourth-quarter financials on Tuesday after the closing bell. Cryptocurrency bettors are buzzing with speculation over what topics might surface during the earnings call.
China To Remain Hot Topic Of Discussion?
It came as little surprise that traders on Polymarket priced in a 98% chance that "Sport" would be mentioned more than 5 times during the call.
Similarly, punters assigned 98% odds to executives mentioning “Revenue” more than five times, while the chances of any mention of “China” have also climbed to 98% as of this writing.
Nike’s business in China, once its fastest-growing region, has faced headwinds, with the company reporting a 10% year-over-year sales decline in the third quarter.
“Growth” and “World Cup” carried odds of 98% and 73%, respectively, while “Dividend” and “Retailer” trailed at 50% and 45%, respectively.
What To Expect From Nike’s Q4 Earnings
Analysts expect the Oregon-based company to report earnings per share of 12 cents and revenue of $10.85 billion
The stock carries a "Hold" rating with a consensus price target of $58.84. In a recent note, Stifel Nicolaus lowered the Nike stock target from $56 to $50, while Deutsche Bank’s Krisztina Katai slashed it from $51 to $43. Oppenheimer’s Brian Nagel and BTIG’s Robert Drbul cut their targets to $60 and $55, respectively.
Analysts generally agree that Nike is facing significant challenges, and its turnaround strategy is taking longer than expected to deliver results.
Last week, Nike announced leadership changes, naming David M. Denton as its next Executive Vice President and CFO. Denton will assume the role on August 17, succeeding Matthew Friend.
Price Action: Nike shares were up 0.375 in Monday’s pre-market trading after closing 0.37% lower at $40.75 during Friday’s regular trading session.
According to Benzinga’s Edge Stock Rankings, NKE exhibited a weak price trend across short-, medium-, and long-term periods, along with a poor Value score.
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