Nike Stock Drops After Mixed Earnings Report
Nike (NKE) shares fell nearly 5% in early trading after the company reported mixed results for its fiscal first quarter of 2027. While Nike beat earnings expectations with a per-share profit of $0.48, it missed revenue forecasts by reporting sales of $11.21 billion against an expected $11.35 billion. The decline in sales was attributed to weak performance in China and Europe, partially offset by growth in North America. Nike also cut its full-year guidance for fiscal 2027, forecasting a high-single-digit revenue drop and earnings per share between $1 and $1.20—down nearly 50% from the previous year’s $2.10. The company cited declining direct-to-consumer sales as a key concern, with Nike Direct falling 8%, including an 13% decline in digital sales. The earnings report raised concerns among investors about the sustainability of Nike's business model and its ability to reverse recent trends.
Tickers: $NKE
Topics: earnings guidance_cut revenue_miss stock_drop