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Nike gets another downgrade as Citi points to turnaround challenges - MarketWatch

1. Citi downgraded Nike from buy to neutral, citing turnaround challenges. 2. Management's hope for fiscal 2026 growth is significantly diminished. 3. Nike's stock fell 31.4% in 12 months, hindering market competitiveness. 4. New CEO aims to refocus on premium sports products and brand image. 5. Analysts doubt Nike's ability to regain market shelf space and margins.

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FAQ

Why Bearish?

Citi’s downgrade indicates lack of confidence in Nike's recovery and profitability. Historical downgrades often lead to price decreases, as seen last year.

How important is it?

The article directly addresses Nike's leadership and strategic challenges affecting stock performance.

Why Long Term?

The structural challenges Nike faces may take years to resolve. Past examples show leadership changes often lead to extended periods of adjustment.

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