Nike Shares Fall 75% from Highs as Q3 EPS Beats but Outlook Weakens
Nike shares have plunged roughly 75% from late-2021 highs, erasing nearly $200 billion in market value after net income fell 35% year-over-year. In fiscal Q3, revenue held at $11.28 billion and EPS of $0.35 beat forecasts, but management forecasts a 2%–4% revenue decline next quarter and 20% China drop.
1. Steep Share Decline
Since late 2021, Nike shares have tumbled roughly 75% from peak levels, wiping out nearly $200 billion in market capitalization as investors question the brand’s growth trajectory and profit resilience.
2. Q3 Financial Performance
In the fiscal third quarter ended February 28, Nike reported flat revenue of $11.28 billion and delivered earnings per share of $0.35, marking a 35% year-over-year drop in net income despite beating Wall Street’s EPS estimates.
3. Disappointing Outlook
Management now expects revenue to decline 2%–4% in the current quarter versus prior guidance for growth, and warns that Greater China sales could fall by approximately 20%, signaling continued headwinds.
4. Analyst Reaction
Jefferies has maintained a Buy rating and set a $90 price target, citing attractive entry levels and potential upside of over 100% if Nike restores growth momentum.