Nike CEO change positive for the stock, says Piper Sandler

Piper Sandler views Nike appointing Elliott Hill as the new CEO, with John Donahoe stepping down earlier than the Street was expecting, as a positive for the stock. The news removes an overhang in leadership and creates a “potentially interesting setup” with the investor day in November, the analyst tells investors in a research note. The firm says bringing a veteran back after significant turnover at the company “should also help culture-wise.” At the same time, Piper continues to question the second half of fiscal 2025 improvement baked into Nike’s guidance and expects the stock to stay range-bound until there’s more color on the fundamentals and the new strategy. It keeps a Neutral rating on the shares with an $80 price target.