Market

Nike stock rallies as sales surpass Street estimates by more than $1 billion

Nike Inc. shares rose in the extended session Thursday after the company topped Wall Street revenue estimates by more than $1 billion, a far cry from the year-ago quarter when sales were pummeled by the COVID-19 pandemic.

Nike
NKE,
+0.38%

shares surged 4% after hours, following a 0.4% rise in the regular session to close at $133.60.

The world’s largest athletic footwear and apparel seller reported fiscal fourth-quarter net income of $1.51 billion, or 93 cents a share, versus a loss of $790 million, or 51 cents a share, in the year-ago period.

Revenue rose to $12.34 billion from $6.31 billion in the year-ago quarter, when brick-and-mortar stores were shuttered because of the pandemic.

Analysts surveyed by FactSet had forecast earnings of 51 cents a share on revenue of $11.03 billion.

“As we advance our consumer-led digital transformation, we are building a new financial model that will continue to fuel long-term sustainable, profitable growth for Nike,” said Matt Friend, Nike chief financial officer, in a statement.

Shares of Nike are up nearly 34% over the past 12 months, compared with a 34% increase by the Dow Jones Industrial Average
DJIA,
+0.95%
,
of which Nike is a component, and a 40% gain by the S&P 500 index
SPX,
+0.58%
.

Most Related Links :
newsbinding Governmental News Finance News

Source link

Back to top button