Nike Stock Slides as Quarterly Profit Misses Estimates, Analysts Expect Strong Earnings Print

Nike's stock slid about 3% after the company reported lower-than-expected profits for the fourth quarter, despite sales that exceeded Wall Street expectations. The decline in profits was attributed to higher product input costs, elevated freight and logistics costs, higher markdowns, and unfavorable changes in net foreign currency exchange rates. Gross margins also fell to 43.6% from 45% in the previous year. However, Nike showed signs of recovery in Greater China, with sales surpassing analyst expectations and inventories remaining stable.