Nike at Support: Bounce or Further Drop Ahead for NKE?
📉 Nike's stock remains at a key support zone, having previously broken its long-term uptrend and currently in a bearish phase.
🤔 On a weekly chart, the current price level is not considered bad for a potential rebound, although a clear buy signal hasn't emerged.
⏳ The stock was previously anticipated for a bounce but has not yet materialized, indicating continued uncertainty.
Nike Leaps Over Earnings Estimates
👟 Nike demonstrated greater than anticipated financial strength in its recent earnings report.
📈 The company reported earnings of 54 cents per share, substantially exceeding the expected 30 cents.
✅ This performance suggests underlying resilience, even though market sentiment towards the stock might differ from company performance.
Nike Teeters On Key Support Amid Downtrend
📉 Nike's stock is currently situated at an interesting technical support level on the weekly chart.
⚠️ The stock remains in a clear overall downtrend, indicating underlying weakness.
📉 Losing the current support level could trigger a significant further decline in the stock price.
Nike Stumbles Below Trend. Buy the Dip or Bail Out?
👟 Nike has broken its long-term uptrend line dating back to 2009, signaling a significant technical shift.
📊 The stock is currently testing an important price level which coincides with potential support, the Point of Control (POC), and moving averages.
⏳ Considered a stock for patient, long-term investors ('meterla en un cajón'), acknowledging the current weakness but believing in the company's resilience.
Nike’s Fading Glory: Is the Brand Losing Its Edge?
🏭 Potential tariffs between the US and Vietnam are mentioned as an additional headwind for Nike, though considered secondary to deeper issues.
🧠 The core problem identified is Nike losing brand relevance and mindshare, particularly among consumers considering alternatives like On Running.
⚠️ The stock is viewed as risky, trading at a high multiple (25x P/E) for what's considered a turnaround story that needs to prove it can regain its footing against competitors.
Nike’s Tariff Tightrope: Can It Withstand the Pressure?
🏭 Nike's heavy reliance on manufacturing in countries like Vietnam (130,000 workers) makes it highly vulnerable to the proposed tariffs, potentially adding costs greater than the tariffs themselves if forced to relocate.
💸 The analysis suggests tariffs could wipe out Nike's entire profit margin, as a 24% tariff on its $28 billion cost of goods ($6.7 billion impact) exceeds its typical net income, forcing significant price hikes.
📉 Despite potential negotiations (like Vietnam offering zero tariffs, causing a brief stock rebound), the fundamental challenge of absorbing or passing on massive cost increases remains a significant headwind for the company.
