CNBC summed it up well: Nike hasn’t been in this much of a slump since 2009, and it still has a lot of challenges ahead of it:
https://www.cnbc.com/amp/2024/06/27/nike-nke-earnings-q4-2024.html
I’m calling it now: More layoffs within a year as Nike struggles to keep EPS up while sales slow. Nike only cut 2% last time. Another 2-3% wouldn’t shock me at all.
the economy is going to get worse
thus it will get worse for Nike (as well as others that are not necessary)
Of course more layoffs are coming, that's has been repeated many times in other companies: revenue doesn't go up, then cut cost to satisfy Wall Street and share price. Next year is going to be a tough year, 2% is way too small for layered Nike, it's the bulky middle layer that need to be cut the most.
@drt
Same reason I sold mine as a lowly grade 30. It’s been made very clear that this was coming.
More layoffs are absolutely coming, the only way incompetent leadership like Nike’s can reduce cost is by firing people. Enjoy the next year of wondering when you will have that cold cruel call with HR & a Sr Director reading the approved script sending you into this horror of a job market. Seriously start looking now, it took me 3 months to land a new role and many skilled talented people are taking 8+ months.
There's a reason ELT, --- CFO and CHRO sold their stocks a few weeks ago..
They knew what was coming...