Nike stock rallies after big earnings beat

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Nike stock rallies after big earnings beat
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Nike stock jumps after quarterly results top estimates

Nike Inc. shares surged in the extended session Tuesday after the athletic apparel company blew past Wall Street estimates for the quarter.

Nike NKE, +3.08% shares rallied 8% after hours, following a 3.1% rise in the regular session to close at $116.87. The company reported fiscal first-quarter net income of $1.52 billion, or 95 cents a share, compared with $1.37 billion, or 86 cents a share, in the year-ago period. Revenue declined to $10.59 billion from $10.66 billion in the year-ago quarter. Analysts surveyed by FactSet had forecast earnings of 47 cents a share on revenue of $9.13 billion.

Nike shares are up 15% for the year, versus a 4% decline in the Dow Jones Industrial Average DJIA, +0.51%, of which Nike is a component, and compared with a 3% gain the S&P 500 index SPX, +1.05%.

 

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