Apr. 10 at 9:24 AM
Piper Sandler downgraded
$NKE to Neutral from Overweight and cut its price target to
$50 from
$60. The analyst notes that while performance categories like running remain strong across the industry, Nike is approaching difficult comps after recent gains. At the same time, the athleisure segment appears increasingly saturated, with demand frequency near peak levels.
“Classics” are becoming a smaller part of the business (around 10% of FY2027 sales estimates), while innovation does not yet appear strong enough to offset the gap. Concerns were also raised about leadership composition, with many senior appointments coming from long-tenured internal talent, raising questions about fresh strategic direction. At ~22x FY2028 EPS and with limited near-term catalysts until a potential Investor Day in H2 2026, the stock is seen as lacking upside momentum in the near term.
