Proactive Investors - Nike Inc (NYSE:NKE) plans to report earnings after the closing bell on Thursday, an investors will be watching for the apparel company’s regional revenue mix.
Revenue for the period is expected to climb 2.5% year-over-year to $13.01 billion. Earnings, meanwhile, are projected to slip for the third quarter in a row to $0.75 per share from $0.93 per share a year earlier.
Investors will have an eye on Nike’s revenue in different regions. The North American market has struggled in 2023, and Nike will likely need to rely on China and Latin America to make up the difference.
Meanwhile, analysts at Jeffries downgraded Nike and a handful of other retailers to Hold from Buy, arguing that the return of student loan payments would likely be a pain point for consumers.
"We believe US consumers are likely to curtail spending ahead, with apparel & footwear being the most likely areas of pullback," analysts wrote.. "With the resumption of student loan repayments, we believe this could be a catalyst that weighs further on already soft sales at some of our specialty apparel coverage."