NKE stock was trading at $88.91 as of 10:51 AM EDT.
On Wednesday, Nike ( NYSE:NKE ) received a second rating cut as worries about the holiday season and the first half of 2023 grow. Erste Group, an Austrian company, downgraded Nike’s (NKE) recommendation from Buy to Hold.
Nike ( NYSE:NKE ) has reported an increased inventory of its products, according to analyst Stephan Lingnau. He added that NKE’s operating income has decreased as a result of growing expenses. Lingau cautioned that the eroding profitability was unlikely to rebound rapidly because real consumer incomes were still declining.
There are 21 buy ratings for Nike (NKE), 13 neutral-equivalent ratings, and no sell-equivalent ratings. In the opening minutes of trading on Wednesday, Nike (NKE) lost 0.50%.
The reasoning behind selling Nike ( NYSE:NKE ) stock is simple enough: the company has too much inventory, so shareholders should do so before markdowns have the usual negative impact on margins and profitability. But as many seasoned investors will confirm, a story like this occasionally takes on a life of its own and ends up causing more harm than is necessary. How serious are Nike’s inventory problems?
Nike Stock Fell Des...
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