Nike price target lowered to $98 from $107 at Piper Sandler

Piper Sandler lowered the firm’s price target on Nike to $98 from $107 and keeps a Neutral rating on the shares. Nike’s Q3 reuslts were slightly ahead of the firm’s estimates, but initial commentary for FY25 was disappointing, the analyst tells investors in a research note. Nike is working through culture issues which have led to a lack of relevant product innovation and a pullback in additive channels, and as the product portfolio is in transition, the firm awaits signals that new product is resonating with consumers. Piper also has doubts on operating margin expansion to high teens in the future as Nike reinvests in wholesale.