Nike’s stock is headed for a ‘swoosh’-shaped recovery after years of pain, analyst says

The Ratings Game

Nike’s latest quarterly results were ‘rough’ but likely marked a bottom as the turnaround takes hold, Jefferies analyst says

Last Updated: June 27, 2025 at 11:10 a.m. ET
First Published: June 27, 2025 at 9:22 a.m. ET

Nike Inc. has endured a tough few years marked by weaker demand and its own struggles to adapt to shifting trends. While the athletic-gear and sneaker maker’s fourth-quarter results Thursday were hardly spectacular, analysts say that Nike is finally on a path to recovery.

“Don’t hope for a V-shape, more like a Swoosh, but it does seem like a recovery is finally on its way after years of pain,” HSBC analyst Erwan Rambourg wrote in a note released Friday. “Sales momentum gets better from here; gross margin pressures should also start to ease later this year despite tariffs.”