We haven’t heard anything about it in a while. The last earnings call was pretty bad. Sales tanked 10% yoy and EPS dropped 26%. Over the past few years, management decided it was a good idea to focus more on the direct-to-consumer business and took product away from store shelves. This has proven to be a poor decision, as that business has dropped 13%. On September 19, Nike announced Elliot Hill will be the new CEO. The market loved the move as the stock popped about 12%, but it has since sold off to retest the lows. Hill is expected to get Nike back on track, but that will take time. Bill Ackman has upped his stake in NKE recently, going from 2% to 11% of his total portfolio, and Travis Knight(Phil Knight’s son) acquired 3,180,000 shares 3 weeks ago, increasing his stake by 170%. New CEO Elliot Hill also bought 64,000 shares last month.

As far as the chart goes, it’s at a very important level. The $68-70 range has been crucial since before the pandemic. It was resistance in 2015 and 2018, and support in 2018 once it broke through. It blasted through this level during covid, but that was an extreme circumstance. You can see it was also support recently in August after the earnings sell off. It has since bounced but may be testing the support one more time for a double bottom. I think it’s going to be very difficult for it to break through this level. Nike is the premier athletic brand. They have more revenue that LULU, ON cloud, and Adidas combined. They’ll figure their shit out, and will get back on track.

I included the daily chart as well. I was looking for a retest and hold of $70 to confirm the double bottom, but today had a really candle. Looking to tomorrow to see if that trend continues. I doubt they’ll crush earnings this time, but there could be a small run into the report on 12/19, some $80 and $85 calls for 12/20 in hopes of that run and to play the IV as well. BOL if tailing.