Nike is set to report earnings after the bell. Here's what Wall Street expects
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In this articleNike is expected to report earnings after the bell Thursday as Wall Street eyes the company's progress in reigniting its business. The sneaker company is just over a year into CEO Elliott Hill's turnaround strategy, focusing on regaining its growth and market share, clearing out old inventory and investing in wholesale relationships.Here's what analysts are expecting for Nike's second fiscal quarter of 2026, according to consensus estimates from LSEG:The company is set to hold a conference call with investors at 5 p.m. ET as analysts look for a read on holiday demand. Nike's stock has dropped more than 11% this year. In Nike's fiscal first-quarter earnings report, Hill reported some positive developments in the company's turnaround, citing improvements in wholesale, running and North America. But Hill noted that other areas, like its China segment and direct business, have not been performing as well.Nike expects those headwinds to continue into the new year.Hill told CNBC in October that the company's turnaround plan is showing progress, but it will "take a while" to return to profitable growth. The sneaker giant has also been taking a hit from tariffs. In September, the company said it expected tariffs to cost it $1.5 billion and impact its gross margin by 1.2 percentage points in its current fiscal 2026. It's an increase from the $1 billion and 0.75 percentage point hit it expected earlier this year.The company previously said it expected its gross margin for its second quarter to fall between 3 and 3.75 percentage points.Nike also underwent leadership changes to "remove layers," according to Hill, earlier this month. Under its "Win Now" strategy, the company announced that Chief Commercial Officer Craig Williams would leave the sneaker giant. Hill called the shake-up a move "about growth and offense.""Collectively, these changes amount to us eliminating layers and better positioning Nike to continue to have an impact the way only Nike can," Hill said in a statement at the time.The company also has reported a strong start in its NikeSKIMS partnership with Kim Kardashian's shapewear brand, which Hill previously said has seen a "very strong" response. Got a confidential news tip? We want to hear from you.Sign up for free newsletters and get more CNBC delivered to your inboxGet this delivered to your inbox, and more info about our products and services.© 2025 Versant Media, LLC.
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