Nike stock gains 1.16 percent as Berenberg cuts target

Published on 10/06/2026 at 17:59 | Editorial responsibility: Rafael Müller, Editor-in-Chief AD HOC NEWS

Berenberg lowered its Nike target from USD 49 to USD 27.50 on October 6, 2026. Fiscal Q1 revenue fell 4 percent to USD 11.213 billion.

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Nike stock (ISIN US6541061031) was trading at USD 34.35 on the NYSE on October 6, 2026 at 11:59 a.m. ET, up 1.16 percent from USD 33.96. The market is weighing Berenberg's downgrade from Hold to Sell and its target cut from USD 49 to USD 27.50, as Yahoo Finance reported on October 6, 2026.

Berenberg cuts its target sharply

Berenberg's new target is USD 21.50 below its former USD 49 target. The brokerage based the USD 27.50 valuation on an 18.1 times price-to-earnings multiple applied to its fiscal 2029 earnings estimate, according to Yahoo Finance.

The downgrade follows Nike's fiscal 2027 first-quarter report and places the restructuring plan at the center of the debate. Berenberg said Nike's valuation premium looks unjustified, while its target implies a more cautious view of the recovery path.

Revenue decline meets restructuring plan

NIKE, Inc. reported fiscal 2027 first-quarter revenue of USD 11.213 billion for the period ended August 31, 2026, down 4 percent from USD 11.720 billion a year earlier. Diluted earnings per share were USD 0.48, compared with USD 0.49 in the prior-year quarter, while gross margin expanded 60 basis points to 42.8 percent, according to the company's release carried by Last10K on October 1, 2026.

The regional split shows where the pressure is concentrated. Greater China revenue fell 22 percent to USD 1.180 billion, while Nike Direct revenue declined 8 percent to USD 4.142 billion in the same quarter.

Nike's Pace operating-model transformation targets USD 2.5 billion in cumulative savings through fiscal 2031 against USD 1.0 billion in pretax charges, with USD 0.3 billion expected in fiscal 2027, the company said in the release published by Last10K.

Nike stock trades above its yearly low

At USD 34.35 on October 6, 2026, Nike stock stood USD 2.38 above its 52-week low of USD 31.97 and USD 37.23 below its 52-week high of USD 71.58. The session range was USD 33.50 to USD 34.53, with volume at 26,042,231 shares and market capitalization at USD 50.8 billion.

The combination of a positive intraday move and a sharply reduced analyst target leaves the latest quarterly numbers as the central test for Nike's recovery. Fiscal 2027 revenue is expected to decline by high single digits, while adjusted diluted EPS guidance is USD 1.15 to USD 1.35, excluding USD 0.15 of Pace-related restructuring expense, according to Last10K.