Latest news with #ElliotHill
Yahoo
15 hours ago
- Business
- Yahoo
Nike upgrade, AMC's debt plan: Trending Tickers
Nike (NKE) stock was upgraded to Buy by Argus, citing strong brand growth despite ongoing supply chain challenges. AMC (AMC) stock is in focus after the company announced plans to raise $223 million to refinance its debt amid skepticism about its recovery. Watch the video above to hear Market Domination host Josh Lipton and Prairie Operating Co. executive vice president of market strategy Lou Basenese discuss the latest on both stocks. To watch more expert insights and analysis on the latest market action, check out more Market Domination here. Now time for some of today's trending tickers gonna watch Nike and AMC and up first Argus upgrading Nike stock. They go to a buy on that one and analysts say that recovery for the company is on its way with Argus expecting Nike to dominate in the athletic apparel and footwear markets the long run, despite the industry's growing competitiveness, Argus believes that Nike will continue to strengthen its position through global brands innovative products and rapid growth in emerging markets. So Lou Argus does upgrade this to buy target, looks like they, they go to 85 here looks like recoveries underway. They talk about how Nike's clearing inventory, so their products were up to date. Um, are you a believer? CEO Elliot Hill, you got the celebrity athletes whatever you want. Yeah, I'm not there yet in the short term because I believe, if I'm not wrong, if not mistaken it was a couple weeks ago, we were talking about supply chain issues called rising costs because of tariffs that weren't yet resolved. But I do think Nike is one of those iconic brands that is going to find its footing again. No pun intended. Um, just because, I mean you and I grew up with those children of the 90s right, it was the only brand in athletic wear. Uh, they're seeing what consumer tastes are, but for me personally, retail is a tough space to invest in because of changing and finicky demand. So, uh, but I do think Nike has staying power there. They do the right partnerships, um, they need another Tiger Woods-esque type breakout star to really, to carry that banner for that brand. I was actually a child of the 80s, but I appreciate 80s too. Right. I appreciate you saying that. Let's try and upgrade us both. It's nice to you. All right, the other ticker here we're watching, AMC entertainment announcing a new plan to lessen its debt and take on new financing. The restructuring deal introduces roughly 223 million in fresh capital aimed primarily at refinancing debt scheduled to mature in 26. So, um, this one's interesting Lou. I'll tell you what stuck out, stocks down about 30% this year. Do you know how many buys on the street Lou? Zero goose egg, none. Seven holds, three sells. That's all you get. Which is the biggest rarity you're ever going to see honestly. You do not see that often. You don't see that, right? There's always more buys and maybe a lone contrarian that's out there as a sell. I'm just still scratching my head. How did we not see bankruptcy through COVID? Right. Like just if it wasn't for the meme stock mania, I just don't know that there's been that big of a rebound in movie ticket sales right. To justify this. I think this is at best a melting ice cube of a business model. Right? Just don't. When's the last time you went to a movie? I took my daughter to Moana 2. Yeah. That's the first movie in forever. No, I keep, people come on here and it's very smart analysts and they tell me people are still going to movies. Box office, okay, maybe it's not back to where it was pre-COVID, but there's been a recovery there. Maybe it's just going to be a smaller industry going forward, which makes sense because it's very hard to get me off my couch. I got the couch, the dog, the big screen. I think it's tough. Yeah. But my thing is, can you get excited about investing in movie theaters, right? You have 4,000 other choices out there. For me, you don't have a single buy rating. You know, um, Not on this one. No. Not one goose egg. You could be the first. Right, thank you.
Globe and Mail
a day ago
- Business
- Globe and Mail
Nike Stock Could Soar 60%, According to 1 Wall Street Analyst. Is It a Buy Now?
Nike (NYSE: NKE) stock has been in a downward spiral for the past three years as sales declined, and it appeared to be losing its edge. But all hope is not lost. The company just reported a strong earnings beat, and it's the leader, by far, in its industry. In fact, one Wall Street analyst sees Nike stock shooting 60% higher over the next 12 to 18 months even after it jumped 15% after earnings. Should you buy it today? Getting back in the game Nike has been dealing with multiple mishaps. It's reestablishing partnerships with wholesalers after cutting some of them out a few years ago; it's getting back on top of its innovation pipeline; and it's going back to sports after prioritizing lifestyle products. It has a new CEO whom the investing community is pumped about, and he's been making changes that the market is liking. A full turnaround is still in the works, but Nike reported better-than-expected earnings for the 2025 fiscal fourth quarter (ended May 31), and it looks like the plan is taking shape. Sales were down 12% from last year in the quarter, with Nike Direct sales down 14%. Gross margin declined by 4.4 percentage points to 40.3%, and earnings per share dropped 86% to $0.14. If that doesn't sound so great to you, consider that Wall Street was expecting only $0.12. Although there's a long way back up, the market appreciated Nike's update and reassurance about how it's progressing. CEO Elliot Hill restructured innovation to focus on lines rather than categories, keeping the athlete at the center. It also widened its wholesale channels to reach more customers in more places, including premium chain Aritzia and Urban Outfitters, which is geared toward the younger shopper. Notably, it's going back to selling on Amazon after a very public breakup five years ago. Hill, a Nike veteran who's been in the lead role since October, gave some important examples of progress: Launches through wholesale partners Dick's Sporting Goods and led to higher sales. The day before it hosted a race at its LA-based store at the Grove, a premium shopping center had its highest sales in three years. It presented its best looks from the French Open finals, leading to a 30% sales increase day to day. Is Nike losing its grip on first place? Nike's lead against its competition is so wide that it really has no competition, at least for first place. That gives it some wiggle room to fix its mistakes and work things out before the situation escalates, but investors shouldn't ignore the risks. Some of its competitors have been posting much better performance despite operating in the same environment. Lululemon Athletica, which hasn't been impressing the market lately, still reported a 7% sales increase in its most recent quarter, and new brand On Holding reported a gargantuan 43% increase. I often cite the Piper Sandler Taking Stock With Teens survey as a good glimpse of how younger customers are shopping because their trends drive future growth. Nike has been in first place for favorite shoe brand for years, and it remained in first place in the recent spring update. However, Nike's share fell from recent averages of around 60% to only 49%. Converse, which has recently featured in the No. 2 spot, wasn't in the top three. These findings aren't alarming, but investors should take them into account when making decisions. A global industry leader Nike is still the brand to beat, and as it progresses, it's looking more likely to make a real comeback. Several Wall Street analysts upgraded their price targets after the recent report, including HSBC, which upgraded the stock to a buy and gave a price target of $80. Jefferies maintained its price target of $115, which is 60% higher than the stock's recent price. Nike also pays a growing dividend that yields 2.2% at the current price, which makes it attractive for passive income investors even while the company is still struggling. If you have a long timeline, you could buy Nike stock today and enjoy the dividend while the stock gets back to work. It's a blue chip stock that should bounce back and offer resilience over time. Should you invest $1,000 in Nike right now? Before you buy stock in Nike, consider this: The Motley Fool Stock Advisor analyst team just identified what they believe are the 10 best stocks for investors to buy now… and Nike wasn't one of them. The 10 stocks that made the cut could produce monster returns in the coming years. Consider when Netflix made this list on December 17, 2004... if you invested $1,000 at the time of our recommendation, you'd have $713,547!* Or when Nvidia made this list on April 15, 2005... if you invested $1,000 at the time of our recommendation, you'd have $966,931!* Now, it's worth noting Stock Advisor 's total average return is1,062% — a market-crushing outperformance compared to177%for the S&P 500. Don't miss out on the latest top 10 list, available when you join Stock Advisor. See the 10 stocks » *Stock Advisor returns as of June 30, 2025
Yahoo
5 days ago
- Business
- Yahoo
Nike stock jumps on earnings, price target boosts
Shares of Nike (NKE) are rising sharply. The company's Q4 results topped estimates, but it was enough for several analysts to turn more optimistic on the stock, with several raising their price targets on Nike shares. Yahoo Finance Anchor Julie Hyman reports the latest on the latest moves. To watch more expert insights and analysis on the latest market action, check out more Morning Brief here. Nike shares are jumping here pre-market. You got some bullish calls out here on the street from Jeffries. We just buy it this morning. Yeah, a number, just buy it. That's cute. Yeah, we don't have our sneaker cam ready unfortunately here this morning, but I am not wearing Nike spoiler. Um, I also like Simeon Siegel's comment, less bad is good enough. This was not a spectacular quarter by any measure. Sales still fell by 12%, but a lot of the different numbers, including that top line revenue number beat estimates. And so indeed, for the street, that's good enough, especially considering that the stock is down 17% this year. And Elliot Hill, the CEO, of course, talking about his turnaround plan starting to take hold and make some progress. He says, "From here, we expect our business results to improve. It's time to turn the page." He said that on the conference call here. The other thing that analysts were looking for was progress on the inventory front. As you well know, Brad, there has been a big inventory buildup, um, in various channels for Nike. Uh, it's also been trying to repair its relationships with its retail partners. Um, CFO Matt Friend said that that inventory cleanup is proceeding, um, and that they have a healthy and clean position, um, in terms of where they're going into the second half of the year. I know that analysts like Anisha Sherman over at Bernstein were looking for that commentary, uh, in particular on inventory. Just want to mention the effect of tariffs as well because the company says it's going to increase tariffs, that is will increase costs by about a billion dollars, um, because of their China sourcing. So it's possible that at least part of the upside we're seeing this morning, Brad, is because of those headlines on a China deal because if that is going to be a big stress on Nike, if there's relief on the horizon, that can be good news for investors as well. Yeah, absolutely. And and thinking about what some of the calls are this morning off of the earnings, coming back to this Jeffries note, they're saying that Amaya, which is Europe, Middle East, Africa, leading the global recovery for Nike here, talking about the momentum being strongest there where they made strides and cleaning up the marketplace, repositioning digital. But you think about that region and who's typically been able to grow and and really maintain some of that market share. It's for brands like Adidas. It's been brands like Puma that are are core and call that that region home. So how are we seeing some of the other major retailers move on these Nike results knowing that, okay, if Nike is signaling that the worst may be behind them, what could this mean for us in the mindset of the consumers as well? It looks like good things. Briefly, right? We're seeing that those other shares are also rising this morning. Um, Puma, Adidas of the world, but also we're watching some of the US-based footwear retailers. Actually, I, I, well, that's Adidas, uh, US shares. So, um, if you look at how they're trading in Europe, we have been seeing some gains for some of those stocks. Um, and then if we look through the feed through here in the US, we've seen a little bit of optimism priced into some of the shares too. While we're talking regions, by the way, I do want to mention, if I didn't already, the greater China was the only geographical area that did not beat estimates. So continuing the trend of some US companies that are having a little bit more friction in that market. Sign in to access your portfolio
Daily Mail
24-05-2025
- Business
- Daily Mail
Sales collapse forces 'woke' mega-brand to make humiliating U-turn and relist on Amazon
America's most popular shoe is coming back to Amazon. After a five-year hiatus, Nike shoes, clothing, and accessories are returning to the e-commerce giant. The athletic brand swiped its products from the platform in 2019, as part of a push to sell more directly to consumers. The Amazon reboot is Nike's latest major change as executives try to reinvigorate sales. Consumer interest has slumped, with sales dropping a staggering 9 percent in March, amid increased running shoe competition. Hoka, Brooks, and Saucony are all gaining sales in the athletic sneaker industry after spending millions of dollars on branding deals with running clubs and community events. Nike, which has cut back on small-scale sponsorships, has been shedding market share to the upstart competitors. To minimize the losses, Nike is reinvesting in its corporate relationships. It has also announced a deal with French department chain Printemps and a pop-up agreement with Urban Outfitters. But social headwinds persist against its US sales: the company is facing backlash from American conservatives that have criticized its marketing campaigns as 'woke.' Nike has gone through a wave of changes as it hopes to recapture market dominance. In September 2024, the shoemaker announced that Elliot Hill would be taking over as the new CEO. Hill started with the company as an intern in 1988. For Amazon, Nike's agreement adds to its deep product lineup. 'Nike is investing in our marketplace to ensure we're offering the right products, best services and tailored experiences to consumers wherever and however they choose to shop,' Amazon said in a statement. Nike originally agreed to sell its products on the e-commerce site in 2017 in exchange for stricter policing of counterfeits and unauthorized third-party sellers. But customers shouldn't expect the Amazon products to come cheap. Nike has announced that several products will see price hikes, starting on June 1, because of President Donald Trump's tariffs. Nike, which has partnered with female athletes for recent ad campaigns, has been criticized from right-wing American activists for being 'woke' The shoe giant has manufacturing plants in Vietnam, China, and Indonesia — making all of its products susceptible to tariffs of at least 10 percent. President Trump initially imposed massive 'reciprocal' tariffs on products made in Vietnam and Indonesia, before announcing a 90-day pause on the levies while negotiating with country leaders. Indonesian products faced a 32 percent tariff while Vietnamese products were nearly slapped with a 46 percent rate. Neither country has announced deals with the US, though Treasury Secretary Scott Bessent has remained optimistic that the countries will start hammering out agreements. The pause ends on July 9. Meanwhile, products made in China are currently facing a 30 percent tariff. That tax could increase back to 145 percent on August 14 if the two countries don't make a deal. Investors have sold off a huge amount of Nike's stock, largely because of the brand's weak positioning with the tariffs. Share prices for the athletic company are down over 18 percent since January.
