Nike Shares Plunge on Weak Earnings Outlook

Nike Inc (NYSE:NKE) released its fiscal first-quarter earnings report on Thursday, which sent its shares plummeting by 5.8% after hours.

The sportswear giant expects adjusted earnings per share of $1.15 to $1.35 for fiscal 2027, falling short of analyst estimates of $1.65.

Nike's revenue is forecasted to decline by a high-single-digit percentage in the same period.

The company attributed the shortfall in its expectations to its Nike Direct segment, which saw an 8% drop in revenue to $4.1 billion, below analyst estimates of $4.4 billion.

Greater China was another weak spot for the company, with a 22% decline in revenue to $1.18 billion versus expected growth of $1.3 billion.