What's more, Nike's gross margin remained superb at 43.6% in Q2 2025 (ended Nov. 30). There will be some pressure here as leadership attempts to sell off inventory to prepare for product refreshments. But if Nike's brand wasn't held in high regard, it wouldn't be able to charge its current prices.

Key Takeaways Nike stock outperformed the market, rising 5% in intraday trading Monday after Jefferies analysts recommended buying "aggressively."The analysts said Nike shares could add more than 40% in value.

Nike navigates revenue stagnation, shrinking margins, and macroeconomic challenges. Discover why NKE's stock valuation suggests caution despite strong fundamentals.