Nike’s recent performance and technical indicators suggest a bullish trend.
1️⃣ Recent Earnings Report
In its fiscal third quarter, Nike reported:
– Revenue: $11.3 billion, a 9% decrease year-over-year but exceeding analyst expectations of $11.02 billion.
– Net Income: $800 million, down 32% from the previous year.
– Earnings Per Share (EPS): 54 cents, surpassing estimates of 28 cents.
2️⃣ Falling Wedge Formation
Technically, Nike’s stock has formed a falling wedge pattern, typically indicating a potential bullish reversal. This pattern, coupled with a false breakout, suggests a possible upward price movement.
3️⃣ Analyst Forecasts
Analysts maintain a positive outlook for Nike:
– Average Price Target: $88.71, implying a 21.54% upside.
– Medium-Term Target: $100
– High-Term Target: $120
For instance, Jefferies has maintained a “Buy” rating with a price target of $115.