UBS Lowers Nike Price Target to $50, Maintains Neutral
UBS lowered its price target on Nike (NKE) to $50 from $54, reiterating a Neutral rating, citing concerns about upcoming guidance and a slightly negative risk/reward skew.
Key Numbers
On June 10, UBS analyst Jay Sole lowered the price target on Nike (NYSE:NKE) to $50 from $54, while maintaining a Neutral rating. He noted a "slightly negative upside/downside skew" heading into the company's next guidance update.
Recommendation Change
- Previous Price Target: $54
- New Price Target: $50
- Rating: Neutral
Analyst's Rationale
Sole sees headwinds for Nike including slowing demand in China and increased competition from brands like Hoka and On Running. He also expects the upcoming quarterly guidance to be below consensus estimates.
Context
This downgrade follows Nike's disappointing fiscal Q3 2025 results. Several other analysts have also trimmed their estimates recently. The stock trades around $48, down about 12% year-to-date.
What to Make of It
UBS's target cut reflects near-term caution, but the Neutral rating suggests the stock is fairly valued. Investors await the next earnings report for clearer signals.
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