Canaccord Genuity Maintains a 'Hold' on Nike (NKE); Cutting PT to $92 After Q4 Miss and Outlook
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Price: $63.33 -1.74%
Rating Summary:
14 Buy, 10 Hold, 0 Sell
Rating Trend: = Flat
Today's Overall Ratings:
Up: 21 | Down: 24 | New: 29
Rating Summary:
14 Buy, 10 Hold, 0 Sell
Rating Trend: = Flat
Today's Overall Ratings:
Up: 21 | Down: 24 | New: 29
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Canaccord Genuity maintains a 'Hold' on Nike (NYSE: NKE) price target of $92.00 (from $104.00).
Analyst, Camilo Lyon, said, "Our concerns coming into the quarter (sales miss, decelerating futures, bloated inventories, continued gross margin pressure exacerbated by F/X) were founded. Moreover, F2013 guidance was lowered due to less gross margin recovery than previously thought; however, we believe sales guidance of M-HSD growth still looks aggressive. Despite the ~10% after-market decline, we would not be buyers of the stock as our top-line growth concerns persist and we believe there is a heightened risk of excess post-Olympic inventory that could further delay the margin recovery."
Lyon commenting on future orders, said the slowdown was expected and was mainly driven by China, by U.S. demand remains strong, which bodes well for Foot Locker (NYSE: FL), Dick's Sporting Goods (NYSE: DKS) and Finish Line (Nasdaq: FINL).
For an analyst ratings summary and ratings history on Nike click here. For more ratings news on Nike click here.
Shares of Nike closed at $96.89 yesterday, with a 52 week range of $76.98-$114.81.
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Analyst, Camilo Lyon, said, "Our concerns coming into the quarter (sales miss, decelerating futures, bloated inventories, continued gross margin pressure exacerbated by F/X) were founded. Moreover, F2013 guidance was lowered due to less gross margin recovery than previously thought; however, we believe sales guidance of M-HSD growth still looks aggressive. Despite the ~10% after-market decline, we would not be buyers of the stock as our top-line growth concerns persist and we believe there is a heightened risk of excess post-Olympic inventory that could further delay the margin recovery."
Lyon commenting on future orders, said the slowdown was expected and was mainly driven by China, by U.S. demand remains strong, which bodes well for Foot Locker (NYSE: FL), Dick's Sporting Goods (NYSE: DKS) and Finish Line (Nasdaq: FINL).
For an analyst ratings summary and ratings history on Nike click here. For more ratings news on Nike click here.
Shares of Nike closed at $96.89 yesterday, with a 52 week range of $76.98-$114.81.
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