Nike downgraded to Equal Weight from Overweight at Wells Fargo

Wells Fargo downgraded Nike (NKE) to Equal Weight from Overweight with a price target of $45, down from $55. Wells says that as the largest footwear company globally, Nike does not fit with its preference of clothing outperforming over the next few years. The broader shift away from athletic apparel and the “over-saturation” of the market from excess competition create fundamental challenges for Nike, the analyst tells investors in a research note. Wells says the global Nike turnaround is taking longer and international disruption is likely to weigh on its results near-term.