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Nike’s Biggest Test Is Not Adidas—It Is The Turnaround!

Nike Inc. reports fiscal Q4 earnings after Tuesday’s close, and the setup is loaded with tension. The stock is near a 52-week low around $40.85, down roughly 36% year-to-date and more than 50% from its 2021 highs. At the same time, Nike is showing real strength in parts of the World Cup merchandise race, with U.S. sell-out rates far ahead of Adidas in the recent data shared. That gives the story a clean hook: consumers may still want Nike, but Wall Street is not acting like the company is back. Traders are reportedly pricing a move of up to roughly 8% in either direction, while analysts expect another weak quarter and another decline in profits. The real question is not whether Nike can sell soccer gear during the world’s biggest tournament. The real question is whether the business underneath that brand power is finally stabilizing.