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StocksMediumUpdated•Originally published 15 October 2026•Updated 16 October 2026•
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Moody's Cuts Nike Outlook to Negative on Extended Earnings Decline Forecast

Key Facts

1Moody’s changed Nike’s outlook to negative from stable while affirming its A2 credit rating.
2The agency expects revenue and earnings to decline through the fiscal year ending May 2027 and into fiscal 2028.
3Moody’s noted that strategic actions and turnaround efforts will pressure earnings and constrain credit metrics.

Moody’s changed Nike’s outlook to negative from stable while affirming its A2 credit rating. InvestingLive reported that the agency expects revenue and earnings to decline through the fiscal year ending May 2027 and into fiscal 2028. Moody’s noted that strategic actions and turnaround efforts will pressure earnings and constrain credit metrics.

NKE closed at $35.30 on October 14, 2026, with the stock trading between a day low of $34.71 and a high of $35.56 during that session. The credit assessment highlights that the costs of repositioning the business are expected to weigh on financial performance, signaling that a recovery in the company's business may be further away than previously assumed.

Latest Updates · 1

  1. Notable·

    Update: Nike's Greater China sales fell 26% on a constant-currency basis, while the Converse brand saw a 28% decline in the latest quarter. The company's restructuring plan carries approximately $1 billion in charges, and the upcoming investor day scheduled for November 16-17, 2026, is expected to serve as the next catalyst for both shares and debt.