Susquehanna Remains Positive On Nike Into Q4 Earnings

Nike Inc NKE is expected to report fourth-quarter earnings results on Tuesday, June 28. The company traditionally posts results after the close.

Susquehanna analyst Christoper Svezia previewed Nike's results in a research note Tuesday morning. The analyst maintained a Positive recommendation and a $74 price target.

The analyst has modeled for Nike to report earnings around $0.47 per share with futures orders up 12-14 percent and reaffirmed FY17 guidance.

Svezia said such results "should be a positive for the stock at these levels." He pointed out Nike shares are down about 13 percent so far in 2016, compared to the Dow Jones Industrial Average which has risen about a percent.

Weakness in the stock, according to Svezia, can be interpreted to "...weakness in basketball, high U.S. inventory and several leadership changes. The former are U.S. specific and appear to be subsiding, while the changes should address a few areas of weakness."