BTIG analyst Robert Drbul has maintained their bullish stance on NKE stock, giving a Buy rating today.
Claim 50% Off TipRanks Premium and Invest with Confidence
- Unlock hedge-fund level data and powerful investing tools designed to help you make smarter, sharper decisions
- Stay ahead of the market with the latest news and analysis so your portfolio is always positioned for maximum potential
Robert Drbul has given his Buy rating due to a combination of factors that highlight Nike’s strategic progress and potential for growth. He acknowledges that while Nike still faces challenges, the company’s focus on innovation and its retro collection, along with key sporting events in 2026, are expected to enhance the brand’s appeal and drive progress in their ‘Win Now’ strategy and ‘Sport Offense’. Drbul maintains his earnings per share estimates for fiscal years 2026 and 2027, suggesting confidence in Nike’s ability to improve its long-term operating margins significantly.
Drbul also points to the expected revenue and earnings performance for the second quarter of 2026, noting a slight decline in total revenues but a manageable contraction in gross margins due to external pressures. He highlights the potential for upside from better-than-expected selling, general, and administrative expenses, and anticipates continued investment in demand creation, particularly with upcoming major sporting events. The launch of innovative products and growth in specific categories and regions further support his positive outlook. Additionally, Drbul’s valuation of Nike is based on a price-to-earnings multiple that reflects anticipated recovery in earnings and margins, justifying a premium over historical averages.
Drbul covers the Consumer Cyclical sector, focusing on stocks such as FIGS, Macy’s, and Kohl’s. According to TipRanks, Drbul has an average return of 4.8% and a 53.77% success rate on recommended stocks.
In another report released today, Jefferies also maintained a Buy rating on the stock with a $115.00 price target.