Nike Stock Plunges to Lowest Point Since 2014

Nike stock has been on a downward trajectory for years, plummeting 78.2% from its November 2021 high. This freefall has made it one of Wall Street's top laggards and the lowest point since October 2014.

The company is executing a turnaround strategy under CEO Elliot Hill, which includes cost cuts, repairing relationships with wholesalers, and a deeper emphasis on sports. However, recent earnings reports have shown that this turnaround is taking longer than analysts expected.

Investors will be closely watching the upcoming earnings report for any hints of growth and a reversal in fortune. The average estimate among analysts is a 3.38% quarterly revenue drop to $11.32 billion, with guidance for the current quarter showing a 4.80% revenue decline to $11.83 billion.

Nike's profitability is expected to be in the red, with earnings-per-share dropping to 44 cents from 49 cents in the same period last year. Despite these weak numbers, investors may still find reasons to be optimistic about the company's turnaround strategy.