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Nike beats Q2 earnings by 43%, signals strong recovery with 33% price upside and 2.6% dividend yield.

Company Fundamentals
26 Mar 2026
Seeking Alpha
View Source
Bullish
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Nike reported a strong Q2 FY2026 with earnings per share beating estimates by 43%, driven by an 8% rise in wholesale revenues and over 20% growth in the running category for two consecutive quarters. Despite short-term margin pressure from $1.5 billion in tariffs and inventory liquidation, the company expects margin recovery as these issues are mitigated. Insider and institutional buying, a solid $8.35 billion in liquid assets, and renewed wholesale partnerships support confidence in Nike's multi-year turnaround strategy, leading to a Strong Buy rating and a price target of $85, indicating a 33% upside and a 2.6% dividend yield.

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