Jumps Nike Stock 17% on Q4 Earnings Beat

Nike Stock Soars 17% After Better-Than-Expected Q4 Earnings: What Investors Need to Know

Infographic showing Nike’s Q4 2025 earnings highlights: $11.1B revenue, $0.14 EPS, and 17% stock surge under CEO Elliott Hill

Introduction: Nike’s Q4 2025 Earnings Beat Expectations, Stock Jumps 17%

Nike, Inc. (NYSE: NKE), the global leader in athletic footwear and apparel, released its fiscal 2025 fourth-quarter earnings on June 26, 2025, delivering results that exceeded Wall Street’s expectations. The company reported earnings per share (EPS) of $0.14, surpassing the consensus estimate of $0.12, and revenue of $11.1 billion, topping the forecasted $10.71 billion. Following the announcement, Nike’s stock price surged 17% on June 27, 2025, climbing from $62.54 to $69.70, reflecting strong investor confidence in the company’s ongoing turnaround efforts led by new CEO Elliott Hill, who took the helm in October 2024. This article dives into the details of Nike’s earnings, analyst reactions, and what this means for investors and consumers, particularly in India.

Visual Tip: Add a bold, engaging infographic that highlights Nike’s Q4 2025 financials — showcasing key metrics like revenue, earnings per share (EPS), and stock performance — to captivate readers at a glance.

Key Financial Highlights from Nike’s Q4 2025 Earnings Report

Nike’s Q4 2025 earnings report, covering the period ending May 31, 2025, revealed a mixed performance with notable positives despite year-over-year declines. Below are the key financial metrics:

Metric	Q4 2025	Year-over-Year Change	Analyst Expectation
Revenue	$11.1 billion	Down 12%	$10.71 billion
Earnings Per Share (EPS)	$0.14	Down 26%	$0.12
Gross Margin	40.3%	Down 440 basis points	N/A
NIKE Direct Revenues	$4.4 billion	Down 14%	N/A
Wholesale Revenues	$6.4 billion	Down 9%	N/A
Full-Year Revenue	$46.3 billion	Down 10%	N/A
Full-Year EPS	$0.70	Down 26%	N/A

Despite the declines, Nike’s management expressed optimism, stating that the results aligned with expectations and that the company is poised for improvement. CEO Elliott Hill noted, “While our financial results are in-line with our expectations, they are not where we want them to be. We are making meaningful progress in the areas most critical to Nike’s future — delivering performance innovation for athletes, keeping pace with consumer expectations, and driving sustainable growth. efficiency and discipline in our operations” (Nike Investor Relations).

Image Suggestion: Include a bar chart comparing Nike’s Q4 2025 revenue and EPS against analyst expectations to highlight the earnings beat.

Analyst Reactions and Price Target Adjustments

Analysts responded to Nike’s Q4 2025 earnings with cautious optimism, maintaining a balanced outlook on the stock. According to Visible Alpha, of the 17 analysts covering Nike, eight rated it a “buy,” eight a “hold,” and one a “sell,” with an average price target of approximately $72 (Investopedia). Post-earnings, some analysts raised their price targets, reflecting confidence in Nike’s recovery trajectory. For instance, while Morgan Stanley had lowered its target to $61 from $70 before the earnings, the better-than-expected results prompted some upward revisions. reported an average price target of $74.36, with a high of $120 and a low of $40

The positive stock reaction, with a 17% surge, was driven by Nike’s earnings beat and management’s assurance that sales and profit declines would moderate in future quarters. Analysts also noted the sector-wide optimism, with competitors like Adidas and Puma gaining 4% and 3%, respectively, post-earnings (DailyMarketTrends).

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Nike’s Turnaround Plan and Future Outlook

Nike is navigating a challenging period under the leadership of CEO Elliott Hill, who is spearheading a comprehensive turnaround plan named “Win Now.”

Cost Efficiency: The company aims to cut $2 billion in costs over three years through operational streamlining and supply chain optimization
Tariff Mitigation: Facing $1 billion in tariff costs in fiscal 2026, Nike plans to implement price increases, adjust its supply chain, and collaborate with retail partners to offset impacts .
Digital and DTC Growth: Despite a 26% drop in online sales, Nike reported a 9% year-over-year increase in digital sales, driven by app traffic and loyalty programs
Female Consumer Focus: Nike is prioritizing its female consumer base to boost apparel sales, a critical growth driver.

Image Suggestion: Include a photo of Nike’s Pegasus Premium or Romero 18 shoes to showcase the innovative products driving the turnaround.

Indian Context: How Nike’s Performance Impacts Indian Investors and Consumers

Nike’s global performance resonates strongly in India, where the brand enjoys a significant presence through retail stores in cities like Mumbai and Delhi and a robust online platform. For Indian investors, Nike’s 17% stock surge offers a promising signal of long-term growth potential. However, short-term volatility due to tariffs and global economic challenges requires careful consideration. Indian investors holding Nike stock or investing in retail ETFs like XRT, where Nike is a major component, may benefit from the sector-wide optimism (DailyMarketTrends).

For Indian consumers, Nike’s price hikes in the US to offset tariffs could lead to higher prices in India, impacting affordability. For example, a young professional like Priya, a fitness enthusiast from Bengaluru, might notice increased prices for her favorite Nike running shoes. However, Nike’s focus on innovative products could introduce exciting new options to the Indian market, enhancing brand appeal among younger consumers and students.

Relatable Story: Consider Ramesh, a small-town teacher from Jaipur who invested in Nike stock through a mutual fund. Inspired by Nike’s global brand strength, he sees the recent stock jump as validation of his investment. However, he remains cautious, monitoring Nike’s ability to sustain its turnaround amidst tariff challenges.

Image Suggestion: Add a photo of a Nike store in an Indian city, like Mumbai, to connect with local readers.

Actionable Guidance for Investors and Consumers

For those considering Nike stock or products, here are actionable steps:

For Investors:
- Research: Study Nike’s turnaround plan and monitor Q1 2026 results for signs of sustained recovery.
- Diversify: Consider retail ETFs like XRT to gain exposure to Nike while spreading risk (Nasdaq).
- Stay Informed: Follow analyst updates on platforms like Ya Hoo Finance for the latest price target revisions
- Downloadable Resource: Access a free checklist on evaluating consumer discretionary stocks at Investopedia.
For Consumers:
- Shop Smart: Look for discounts on Nike’s website or authorized retailers to offset potential price increases (Nike India).
- Explore New Products: Check out Nike’s latest launches like the Pegasus Premium for enhanced performance.
- Interactive Element: Take a quick poll on Nike’s website to share your favorite product category, helping Nike tailor its offerings.

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Conclusion: Is Nike Stock a Buy After the Q4 Earnings Report?

Nike’s Q4 2025 earnings report, released on June 26, 2025, delivered a positive surprise, with EPS and revenue exceeding expectations. The 17% stock price surge reflects investor optimism about Nike’s turnaround under CEO Elliott Hill, who is driving innovation, cost efficiency, and tariff mitigation. While challenges like tariffs and competition from brands like Adidas persist, Nike’s strong brand and strategic focus make it a compelling long-term investment. For short-term investors, caution is advised due to potential volatility.

For Indian investors and consumers, Nike’s performance offers opportunities and challenges. Investors should weigh the stock’s recovery potential against global risks, while consumers can anticipate exciting new products alongside possible price adjustments. With a clear path forward, Nike is poised to reclaim its position as a market leader, making it a stock to watch in the coming quarters.

Image Suggestion: Include an inspiring graphic with a motivational quote from CEO Elliott Hill, such as “It’s time to turn the page,” to reinforce Nike’s optimistic outlook.

Call-to-Action: Explore related articles on consumer discretionary stocks at or download our free guide on investing in global brands at Investopedia.

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