📊 PRO: This Week in Visuals
NKE, CCL, STZ
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Today at a glance:
👟 Nike: Elliott Hill Comes Back.
🛳️ Carnival: Strong Outlook.
🍺 Constellation Brands: Wine & Spirits Down.
1. 👟 Nike: Elliott Hill Comes Back
Nike's Q1 FY25 (ending in August) was a mixed bag. While the company exceeded depressed earnings expectations, revenue fell 10% year-over-year, driven by a 13% decline in direct sales—including a 20% drop in Nike Digital. The company also withdrew its full-year guidance and postponed its investor day, creating uncertainty about its future performance. The ongoing market share losses to competitors like Hoka and On Holding (also visualized in our quarterly coverage) paint a challenging picture for the athletic wear giant.
Despite these headwinds, there are glimmers of hope. Incoming CEO Elliott Hill, a Nike veteran, is expected to leverage his experience to lead a turnaround. However, this will require time and investment, and further downward revisions to expectations are possible. While some analysts remain optimistic about long-term growth prospects, Nike's immediate future hinges on its ability to regain lost market share and navigate a challenging consumer landscape.