Recommended Free Tools
Nike’s latest operating results do not establish that its shares are cheap. Revenue and Nike Direct sales were still falling in the first quarter of fiscal 2027, while fiscal 2026 earnings included a large tariff-recovery benefit that should not be treated as recurring profit. Nike has a recovery plan and remains a major global brand, but whether the stock is undervalued depends on its dated share price and on how much sustainable earnings and cash flow the business can regain.
Is Nike stock cheap?
That cannot be determined from the company results alone. Nike’s latest filing reports business performance, but does not establish a current share price or valuation multiple. A low price-to-earnings ratio, if one is quoted elsewhere, is meaningful only when paired with a dated stock price and an earnings figure that represents sustainable operations.
The operating record calls for caution rather than a simple bargain thesis. In the quarter ended August 31, 2026, Nike reported revenue of $11.2 billion, down 4% year over year as reported and 5% on a currency-neutral basis. Nike Direct revenue was $4.1 billion, compared with $4.5 billion in the year-earlier quarter. Gross margin improved by 60 basis points to 42.8%, but inventory was $7.8 billion at quarter-end, up 5% from May 31. Those figures show why a margin improvement by itself is not proof that demand or the broader business has recovered. Nike Q1 FY2027 Form 10-Q
What do Nike’s full-year results say about the downturn?
For the fiscal year ended May 31, 2026, Nike recorded $46.4 billion in revenue: essentially flat as reported and down 2% on a currency-neutral basis. Net income was $3.1 billion, down 3% year over year. Channel performance diverged: Nike Direct revenue fell 6% reported and 8% currency-neutral, while wholesale revenue increased 6% reported and 4% currency-neutral. That is a shift in channel mix, not evidence that every part of the business is shrinking. Nike FY2026 Form 10-K
Free tools Windows power users keep installed
One-click scans. No signup required.
#1 Best Overall
- Read Before You Buy — No Video Output: These adapters support charging and USB 2.0 data transfer, but cannot transmit video signals. Except for standard USB webcams (which use USB data only), they are not compatible with HDMI/DisplayPort cables, video-capable USB-C hubs, or docking stations with video output.
- Convert USB-A Ports to USB-C: Designed to connect USB-C earphones, cables, flash drives, card readers, and other USB-C accessories to standard USB-A ports. Plug-and-play with no drivers or software required.
- Aluminum Alloy Housing: Built with a sturdy aluminum alloy shell that aids in heat dissipation and protects against daily wear and scratches. Designed to maintain a stable and secure connection.
- Compact & Travel-Friendly: The ultra-compact design allows the adapter to stay plugged into your device without blocking adjacent ports or adding bulk, reducing wear and tear on your original USB ports.
- 12-Month Warranty: Backed by a 12-month manufacturer warranty for peace of mind. Designed to meet strict quality control standards for reliable everyday performance.
The distinction matters to investors. Direct sales can give Nike more control over how it presents products and reaches customers, but a fall in that channel is a warning about its own-channel business. Wholesale growth offers a counterpoint, yet it does not by itself prove that demand, pricing, or profitability have returned to prior levels.
Why might reported earnings overstate Nike’s recurring profit?
Nike’s fiscal 2026 fourth-quarter diluted EPS was $0.72, including $0.52 attributed to the expected recovery of tariffs imposed under the International Emergency Economic Powers Act (IEEPA). For the full fiscal year, Nike recorded a $986 million cost-of-sales benefit from that recovery. These are company-reported figures, and the tariff recovery is not a sound stand-in for ordinary, repeatable earnings. An investor using fiscal 2026 profit to judge the stock should separate that benefit from the earnings generated by ongoing sales and operations. Nike FY2026 fourth-quarter and full-year results release
Rank #2
- 5-in-1 USB-C Hub: Experience comprehensive connectivity featuring a Power Delivery input, two USB-A 2.0 ports, a USB-A 3.0 port, and an HDMI port. (Note: The USB-C power delivery input port is only for connecting an external wall charger to power your laptop and cannot power peripheral devices.)
- 90W Pass-Through Charging: Achieve optimal charging with 90W pass-through power to your laptop, supported by a total input of 100W, with the hub reserving 10W for operational efficiency. (Note: Wall charger not included.)
- Quick Data Transfers: Accelerate your productivity with rapid data transfers using a high-speed 5Gbps USB 3.0 port and two 480Mbps USB 2.0 ports.
- 4K HDMI Display: Enhance your visual experience with a hub capable of delivering 4K resolution at 30Hz in both mirror and extend modes. Please note that this hub is compatible with MacBook (macOS 12 and newer), Windows 10 and 11, ChromeOS, and laptops equipped with DP Alt Mode and Power Delivery. Note: This device is not compatible with Linux.
- What You Get: Anker USB-C Hub (5-in-1, 4K HDMI), welcome guide, 18-month warranty, and our friendly customer service.
This is one reason a headline multiple can mislead. If the earnings figure in the denominator contains an unusual benefit, the stock can look less expensive than it would against normalized earnings. The same caution applies to projections: one quarter should not be annualized without accounting for seasonality and unusual items.
Is Nike a value trap?
A value trap is a stock that appears inexpensive against past or current financial measures but whose underlying earning power has weakened enough that the apparent bargain does not translate into future returns. Nike could fit that pattern if discounting, channel weakness, competition, or regional problems persist and the business cannot restore profitable growth. The recent results alone do not prove that outcome, but they make it a risk worth testing.
Rank #3
- Sleek 7-in-1 USB-C Hub: Features an HDMI port, two USB-A 3.0 ports, and a USB-C data port, each providing 5Gbps transfer speeds. It also includes a USB-C PD input port for charging up to 100W and dual SD and TF card slots, all in a compact design.
- Flawless 4K@60Hz Video with HDMI: Delivers exceptional clarity and smoothness with its 4K@60Hz HDMI port, making it ideal for high-definition presentations and entertainment. (Note: Only the HDMI port supports video projection; the USB-C port is for data transfer only.)
- Double Up on Efficiency: The two USB-A 3.0 ports and a USB-C port support a fast 5Gbps data rate, significantly boosting your transfer speeds and improving productivity.
- Fast and Reliable 85W Charging: Offers high-capacity, speedy charging for laptops up to 85W, so you spend less time tethered to an outlet and more time being productive.
- What You Get: Anker USB-C Hub (7-in-1), welcome guide, 18-month warranty, and our friendly customer service.
Nike says Greater China is facing declining store traffic, elevated promotions, and higher marketplace inventory; corrective action there is expected to extend beyond fiscal 2027. Converse is also in a strategic reset expected to continue throughout fiscal 2027. These are ongoing challenges, not evidence of recovery. Nike Q1 FY2027 Form 10-Q
Execution also has a price tag. Nike expects approximately $1.0 billion in pretax charges for its multiyear Pace enterprise program, with about $0.3 billion expected in fiscal 2027 and the remainder through fiscal 2031. Those are estimates, and the filing warns that actual amounts and timing may differ. The announced charges should not be confused with savings already achieved: the company’s filings do not establish realized future savings from the program.
Rank #4
- Dual Converters, Infinite Potential：Includes 2× USB C male to USB A female adapters and 2× USB A male to USB C female adapters. Perfect for a wide range of uses—tablets with Bluetooth keyboards, expand USB ports on macbook, and more. Two different converters for all your daily needs
- Next-Level 10Gbps & 3A Charging: No more slow 480Mbps, this usb to usb c adapter has a transfer speed of up to 10Gbps, allowing you to do more transferring in less time. This usb adapter fits both USB A and USB C charger, supporting up to 3A fast charging
- Upgraded Exquisite Craftsmanship: With an aluminum alloy housing and metal connector, the usbc to usb adapter is extremely durable and sturdy. Rigorously tested to withstand more than 10,000 times of plugging and unplugging, ensuring long-lasting performance
- Broad Compatible: The usb c to usb adapter widely supports all USB C/ USB A devices like laptops, tablets, cellphones, car chargers, and phone chargers. Such as compatible with MacBook Pro/Air 2023/2022, Thunderbolt 4/3 Devices,Apple MagSafe Watch 9/8/7/SE/Ultra, iPad Pro 2022/2021, Samsung Galaxy S23/S20/S10, and iPhone 17/16/15 Pro. Plug and play
- Please Note: To reach 10Gbps speed, keep the cable under 3.3 ft. For USB A Male to USB C adapters, try flipping the USB C connector. USB C Male to USB A adapters support bidirectional 10Gbps transfer within 3.3 ft
What could support a Nike recovery?
The potential upside case rests on Nike’s global footwear and apparel business, its portfolio of brands, and its ability to sell through both owned channels and wholesale partners. Nike has described a strategic focus on sport, product innovation, consumer connection, and retail experience. Its stated actions include accelerating innovation, rebalancing footwear supply, positioning Nike Brand Digital as a full-price platform, reinvesting in wholesale and physical retail, and investing in sports and brand marketing. Those are management plans, not proof of results.
In its June 30, 2026 results release, CEO Elliott Hill said, “In fiscal 2026, we took decisive actions to strengthen the foundation of NIKE, Inc. and reposition our business for long-term growth.” That statement describes management’s view of its response; investors still need evidence that customers respond and that the actions improve sustainable sales and profitability. Nike FY2026 fourth-quarter and full-year results release
The Tool Desk
Outbyte Driver Updater FREEScan for outdated or missing drivers - takes under a minuteDriver Scan →Outbyte PC Repair FREEClear out junk files and repair common Windows errorsFree Scan →Best Value
- 5-in-1 Connectivity: Equipped with a 4K HDMI port, a 5 Gbps USB-C data port, two 5 Gbps USB-A ports, and a USB C 100W PD-IN port. Note: The USB C 100W PD-IN port supports only charging and does not support data transfer devices such as headphones or speakers.
- Powerful Pass-Through Charging: Supports up to 85W pass-through charging so you can power up your laptop while you use the hub. Note: Pass-through charging requires a charger (not included). Note: To achieve full power for iPad, we recommend using a 45W wall charger.
- Transfer Files in Seconds: Move files to and from your laptop at speeds of up to 5 Gbps via the USB-C and USB-A data ports. Note: The USB C 5Gbps Data port does not support video output.
- HD Display: Connect to the HDMI port to stream or mirror content to an external monitor in resolutions of up to 4K@30Hz. Note: The USB-C ports do not support video output.
- What You Get: Anker 332 USB-C Hub (5-in-1), welcome guide, our worry-free 18-month warranty, and friendly customer service.
What would need to improve for Nike stock to recover?
Rather than rely on a single low-multiple screen, investors can follow a set of operating signals across successive reports. The most useful comparisons are:
- Revenue: Look for improving reported and currency-neutral trends, and distinguish a genuine change in demand from currency effects.
- Channel performance: Track whether Nike Direct stabilizes alongside wholesale, and whether any mix shift is accompanied by healthy sales rather than simply moving inventory between channels.
- Margins and pricing: Evaluate whether gross margin gains persist alongside fuller-price selling and lower markdown pressure, rather than treating one quarter’s margin change as a recovery by itself.
- Regional and brand resets: Watch for evidence that Greater China traffic, promotions, and marketplace inventory are improving, and that the Converse and Sportswear/Jordan resets are progressing.
- Cash generation and inventory: Compare operating cash generation with inventory levels and capital returns. A recovery in accounting profit is more persuasive when it converts into cash without relying on inventory buildup.
- Restructuring economics: Compare Pace charges as they are incurred with savings actually reported; projected benefits are not realized benefits.
How to judge the valuation without assuming Nike is cheap
- Choose a dated share price. Record the quote date and currency; a valuation claim without a date can quickly become stale.
- Use normalized earnings or cash flow. Adjust for the fiscal 2026 tariff-recovery benefit and avoid treating a single quarter as a full year. State the assumptions behind any normalization.
- Test more than one recovery path. Consider outcomes in which sales and margins improve, remain weak, or deteriorate further. Check how much future growth the current price would require under each case.
- Revisit the thesis as filings arrive. Compare actual results with the indicators above, separating management targets and estimates from outcomes reported by the company.
Nike’s filings provide operating evidence for this analysis, but they do not supply the dated market price and transparent earnings or cash-flow assumptions needed to establish whether the stock is cheap. The decision therefore turns not on the word “cheap,” but on whether a defensible valuation still works after unusual earnings benefits are removed and the recovery remains uncertain.
Quick Recap
Product prices and availability are accurate as of the date/time indicated and are subject to change. Any price and availability information displayed on Amazon at the time of purchase will apply.
