Economic Outlook: Nike preview: Momentum is growing, but is it enough to reach $50 billion sales goal?

Nike Inc. is scheduled to announce fiscal fourth-quarter earnings on Thursday after the closing bell amid rising momentum and increasing optimism from analysts.

“Nike’s trend is accelerating into back-to-school with improved sell-through, increased AURs [average unit retail], and improving merch margins on a tightly managed supply,” wrote Cowen in a note.

As competition with Adidas AG ADS, +1.44% heats up, Nike NKE, -1.47% was able to leverage its iconic styles, like the Air Max, to drive business in the same way the Stan Smith shoe did for Adidas back in 2016 and 2017, Cowen says.

Distribution of the Jordan basketball shoes has improved, the company’s direct-to-consumer efforts are yielding results, and the collaboration between Nike and Off-White designer Virgil Abloh was a “success.

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