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Nike’s Earnings Show Mixed Signals | Business and Finance News
Description
Nike’s latest earnings report shows a mixed but hopeful picture: revenue dipped slightly, but that beat expectations thanks to tariff reversals. Gross margins are stabilizing after a rough stretch, and EPS finally grew for the first time in two years. While the company’s cautious outlook warns of a sluggish economy and lowered revenue forecasts, there are bright spots — Foot Locker sales turned positive for the first time in four years, and running shoes keep crushing it with double-digit growth for five straight quarters. The stock swung wildly but ended up nearly 5% higher, signaling investor optimism that the worst may be behind them. Still, consistent revenue growth remains elusive, and without a major economic turnaround, earnings growth looks flat for now — so don’t rush in, even if the stock seems cheap.
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