Nike shares hit a new 52-week low of $43.09 on Tuesday. Investors remain concerned about the pace of the company's turnaround progress. The stock has fallen approximately 30% year-to-date.
Management issued a weak fourth-quarter forecast despite beating fiscal third-quarter earnings estimates. The guidance includes a projected 20% revenue decline in Greater China. The company is also navigating a strategic shift away from its previous direct-to-consumer focus.
CICC Research, Goldman Sachs, and JPMorgan recently issued stock downgrades and price target cuts. Analysts highlighted unhealthy inventory levels and an extended recovery timeline as key issues. The firm continues to struggle with weak international sales and declining gross margins.