Nike (NKE, $82.92) faces headwinds in North American market; but beats fiscal Q3 earnings estimate
Nike Inc. reported lower-than-expected sales in North America in its fiscal third quarter, even as earnings beat analysts’ estimates.
In North America, the sports shoe giant's sales grew +7 percent year-over-year to $3.81 billion (excluding currency changes) in the quarter, which was lower than what some analysts’ expected. Nike’s domestic business apparently continues to feel pressure from rival companies like Under Armour, Adidas and Vans.
Growth in international sales fared better. In Europe, the Middle East and Africa, sales grew +12% (excluding currency changes), as mentioned by Nike. Revenue in China surged +24%. Sales grew +14% in Asia Pacific and Latin America.
According to Nike, its revenue from Converse shoes declined -2% year-over-year to $463 million, largely due to softening sales in the U.S. and Europe.
Nevertheless, the company’s total adjusted earnings of 68 cents per share surpassed analysts’ estimates of 65 cents per share (based on Refinitiv data). Total revenue increased +7% year-over-year to $9.611 billion, which was almost in line with analysts’ expected $9.612 billion. Nike said that its digital business grew +36% year-over-year.
The shoe maker bought back 9.8 million shares, worth $754 million, during the quarter.
NKE in +7.53% Uptrend, growing for three consecutive days on July 02, 2025
Moving higher for three straight days is viewed as a bullish sign. Keep an eye on this stock for future growth. Considering data from situations where NKE advanced for three days, in of 290 cases, the price rose further within the following month. The odds of a continued upward trend are .
Technical Analysis (Indicators)
Bullish Trend Analysis
The Momentum Indicator moved above the 0 level on June 27, 2025. You may want to consider a long position or call options on NKE as a result. In of 88 past instances where the momentum indicator moved above 0, the stock continued to climb. The odds of a continued upward trend are .
The Moving Average Convergence Divergence (MACD) for NKE just turned positive on June 27, 2025. Looking at past instances where NKE's MACD turned positive, the stock continued to rise in of 45 cases over the following month. The odds of a continued upward trend are .
The Aroon Indicator entered an Uptrend today. In of 215 cases where NKE Aroon's Indicator entered an Uptrend, the price rose further within the following month. The odds of a continued Uptrend are .
Bearish Trend Analysis
The 10-day RSI Indicator for NKE moved out of overbought territory on July 08, 2025. This could be a bearish sign for the stock. Traders may want to consider selling the stock or buying put options. Tickeron's A.I.dvisor looked at 24 similar instances where the indicator moved out of overbought territory. In of the 24 cases, the stock moved lower in the following days. This puts the odds of a move lower at .
The Stochastic Oscillator demonstrated that the ticker has stayed in the overbought zone for 6 days. The longer the ticker stays in the overbought zone, the sooner a price pull-back is expected.
Following a 3-day decline, the stock is projected to fall further. Considering past instances where NKE declined for three days, the price rose further in of 62 cases within the following month. The odds of a continued downward trend are .
NKE broke above its upper Bollinger Band on June 27, 2025. This could be a sign that the stock is set to drop as the stock moves back below the upper band and toward the middle band. You may want to consider selling the stock or exploring put options.
The Tickeron PE Growth Rating for this company is (best 1 - 100 worst), pointing to outstanding earnings growth. The PE Growth rating is based on a comparative analysis of stock PE ratio increase over the last 12 months compared against S&P 500 index constituents.
The Tickeron Price Growth Rating for this company is (best 1 - 100 worst), indicating outstanding price growth. NKE’s price grows at a higher rate over the last 12 months as compared to S&P 500 index constituents.
The Tickeron SMR rating for this company is (best 1 - 100 worst), indicating very strong sales and a profitable business model. SMR (Sales, Margin, Return on Equity) rating is based on comparative analysis of weighted Sales, Income Margin and Return on Equity values compared against S&P 500 index constituents. The weighted SMR value is a proprietary formula developed by Tickeron and represents an overall profitability measure for a stock.
The Tickeron Valuation Rating of (best 1 - 100 worst) indicates that the company is fair valued in the industry. This rating compares market capitalization estimated by our proprietary formula with the current market capitalization. This rating is based on the following metrics, as compared to industry averages: NKE's P/B Ratio (9.862) is very high in comparison to the industry average of (3.082). P/E Ratio (27.224) is within average values for comparable stocks, (28.555). Projected Growth (PEG Ratio) (2.032) is also within normal values, averaging (1.991). Dividend Yield (0.015) settles around the average of (0.036) among similar stocks. P/S Ratio (2.762) is also within normal values, averaging (1.500).
The Tickeron Seasonality Score of (best 1 - 100 worst) indicates that the company is significantly overvalued in the industry. The Tickeron Seasonality score describes the variance of predictable price changes around the same period every calendar year. These changes can be tied to a specific month, quarter, holiday or vacation period, as well as a meteorological or growing season.
The Tickeron Profit vs. Risk Rating rating for this company is (best 1 - 100 worst), indicating that the returns do not compensate for the risks. NKE’s unstable profits reported over time resulted in significant Drawdowns within these last five years. A stable profit reduces stock drawdown and volatility. The average Profit vs. Risk Rating rating for the industry is 77, placing this stock worse than average.
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General Information
a maker of athletic footwear and apparel
Industry ApparelFootwear
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