[ad_1]
Nike Inc NKE shares are up nearly 12% after the company reported better-than-expected financial results. Several analysts also raised price targets on the stock Wednesday morning.
Q2 Earnings: Nike said fiscal second-quarter revenue increased 17% year-over-year to $13.31 billion, which beat average analyst estimates of $12.57 billion, according to Benzinga Pro data. The company reported quarterly earnings of 85 cents per share, which beat estimates of 65 cents per share.
China sales totaled $1.788 billion, down from $1.844 billion year-over-year. Nike Direct sales were up 16% year-over-year, while Nike brand digital sales jumped 25%.
Inventories totaled $9.3 billion, up 43% year-over-year. Margins fell to 42.9% as a result of higher markdowns, as well as other unfavorable cost changes.
Check This Out: Trading Strategies For Nike After Q2 Earnings
“Our growth was broad-based and was driven by our expanding digital leadership and brand strength. These results give us confidence in delivering the year as our competitive advantages continue to fuel our momentum,” said John Donahoe, president and CEO of Nike.
Analyst Assessment:
- Piper Sandler analyst Abbie Zvejnieks maintained Nike with a Neutral and raised the price target from $95 to $105.
- Deutsche Bank analyst Gabriella Carbone maintained Nike with a Buy and raised the price target from $126 to $133.
- Morgan Stanley analyst Alex Straton maintained Nike with an Overweight and raised the price target from $127 to $138.
- UBS analyst Jay Sole maintained Nike with a Buy and raised the price target from $141 to $146.
- Goldman Sachs analyst Kate McShane maintained Nike with a Buy and raised the price target from $120 to $133.
NKE Price Action: Nike has a 52-week high of $171.19 and a 52-week low of $82.22.
The stock was up 11.9% at $115.50 at time of publication, according to Benzinga Pro.
Photo: grailify from Pixabay.
[ad_2]
Image and article originally from www.benzinga.com. Read the original article here.