Goldman Sachs cuts Nike stock price target on weak guidance
Goldman Sachs cut Nike's (NKE) price target to $30 from $38, citing weak fiscal 2027 guidance and revenue misses. The stock has fallen 51% over the past year. Analysts expect EPS of $1.67 for fiscal 2027. Nike's Sportswear, Jordan, and China businesses declined significantly, while Performance grew. The company plans significant actions to improve its marketplace, impacting fiscal 2027-2028 margins. Several firms adjusted their price targets following Nike's Q1 results and guidance.
How this was made
The 30-second read
Why it matters
The downgrade and guidance shortfall suggest near‑term earnings pressure and could trigger further sell‑offs.
Market read
Nike's large market cap and recent 9% drop make this news highly relevant for traders in consumer discretionary.
What to watch
The new Pace transformation plan may unlock margin improvements not reflected in the current guidance.
Background
Goldman Sachs lowered its price target for Nike after the company reported a fiscal Q1 miss and issued weak guidance for fiscal 2027.
Ticker impact
Goldman Sachs cut Nike's price target to $30 and highlighted weak fiscal 2027 guidance and a revenue miss.
likely further decline as the market prices in weaker revenue and earnings outlook
The new guidance and target cut are fresh disclosures that directly affect valuation expectations.
Market effects
Footwear and apparel sector may see broader pressure as Nike's outlook signals demand weakness.
U.S. consumer discretionary stocks could be weighed down by Nike's guidance.
International peers may experience spillover effects, especially in China where Nike reported a steep decline.
Counterpoint
If Nike's turnaround initiatives succeed faster than expected, the stock could rebound on short‑covering.
Key entities
- AnalystGoldman Sachs
Provided the price target cut and commentary on Nike's outlook.
- CompanyNike Inc.
Subject of the earnings guidance and price target revision.
