From Yahoo Finance: 2025-03-23 12:06:00

Nike beat earnings and revenue expectations in Q3, but shares dropped due to low expectations and a grim outlook for Q4. Hill’s team aims to recover from past strategic missteps. Despite reporting higher earnings than expected, Nike’s revenue decreased, and its gross profit margin contracted. Management anticipates a challenging Q4 with external uncertainties impacting its business, leading to a decline in revenue and gross profit margin. The stock’s recent drop is not necessarily a buying opportunity, as Nike navigates its turnaround plan with declining revenue and pressure on margins. The company’s strategy reset creates uncertainty, prompting caution from investors. “Double Down” stock recommendations are being issued for promising companies, emphasizing the potential for high returns. The article urges investors to exercise patience and observe Nike’s progress before considering an investment.

Read more: Buying the Dip in Nike’s Stock Could Be a Mistake