Nike-aksjen sendes nedover i etterhandelen

Nike, the global sportswear giant, has seen its stock price plummet following the release of its first quarter 2027 financial results on Thursday evening. The company's guidance for the full year also disappointed investors, sending the stock down around six percent on Wall Street. Revenue in China continues to decline, falling to $1.18 billion, down from $1.51 billion in the same period last year.

Net income per share is expected to fall by a high single-digit percentage in the 2027 fiscal year. Nike has been falling hard on Wall Street this year, with the stock price down over 40 percent since the start of the year. Factors contributing to the decline include weaker sales, particularly in China, falling demand for several of Nike's classic shoe models, and a longer than expected legal battle that had investors hoping would be resolved quickly.

Currently, Nike's stock has reached a record high level of short interest, according to a recent report from S3 Partners ahead of the earnings release. Around 87 million Nike shares are currently borrowed out for short selling, representing more than seven percent of the company's outstanding shares. Analysts note that Nike's stock "continues to be under significant pressure."

"It's worth noting that short sellers have consistently increased their exposure as Nike's stock price has fallen, rather than using the weakness to reduce positions and lock in profits. Short sellers are sitting on an estimated $1.4 billion in unrealized profits as of 2026," according to S3 Partners' report. Short sellers are not the only ones negative on Nike's stock.

JPMorgan downgraded the stock to "sell" last week, pushing the price down further. Analyst Lorraine Hutchinson believes a turnaround operation will take longer to materialize, and sees downside risk for earnings per share and share price estimates. This is due to Nike's "innovation still overshadowed by pressure on the business from classic models, while pressure from product categories and macroeconomics increases," according to Bloomberg.

Hutchinson expects negative sales growth through fiscal year 2027, contrary to earlier expectations of a "spring turnaround." Bloomberg highlights that Nike's stock is currently at its weakest year since 1993, the year Michael Jordan, widely regarded as one of the greatest basketball players of all time, retired. Recently, it was revealed that soccer star Kylian Mbappé, a 20-year Nike customer, is breaking ties with the company after two decades.