Nike Faces $300M World Cup Boost — But Stifel Sees A Bigger Margin Squeeze

Nike Inc (NYSE: NKE ) is scheduled to report its first-quarter results for fiscal 2027 on October 1, after market close. Estimates have been lowered to reflect pressure on gross margins from "a more promotional global environment," Stifel says. The Nike Analyst: Analyst Peter McGoldrick maintains a Hold rating, while cutting the price target from $45 to $40. The Nike Thesis: The company could report its revenues above the consensus estimate, with the World Cup contributing roughly $300 million in the first quarter, McGoldrick said.

Check out other analyst stock ratings. Nike has reported revenues above its own guidance in each of the last seven quarters, he noted. The analyst added, however, that consumer demand for new products remains constrained and Hoops Classics’ contribution continues to shrink. "A new CFO and the November 16-17th Investor Day give management no incentive to raise expectations near-term," he further wrote.

05 per share, respectively. This downward revision reflects a more promotional environment and tougher gross margin comparisons in the fourth quarter than was previously modeled due to tariff refund benefits in the fourth quarter of fiscal 2026, McGoldrick said. While the promotional environment in the Western marketplace has become tougher in the near term, Greater China remains "a question mark," he added.

"We reaffirm our above-consensus revenue estimates to reflect our expectations for sequential progression, and model SG&A deleverage on declining revenue in F1H27 reflecting variable cost associated with a revenue inflection in F2H27+, and the build for LA28 Olympics in F4Q28E," McGoldrick wrote. 96 at the time of publication on Monday. Read Also: Nike Stock Hits New Low as On Holding Competition Heats Up, Yields Spike, and S&P 500 Removal Nears Image: Shutterstock