1300 ET - Nike's margin guidance may look disappointing, but it does imply some improvement, according to JPMorgan in a note. The analysts say the company's F3Q outlook has gross margins declining by 75 basis points excluding a net tariff headwind of around 100 basis points. That compares with a decline of 125 basis points in F2Q excluding a net tariff headwind of 175 basis points, and 220 basis points in F1Q. Nike is starting to realize benefits from selling more products at full-price, the analysts say. Inventory is also improving overall health. Still, Nike's guidance of a low-single-digit percentage decline in revenue was worse than the 1.5% growth analysts were forecasting. Nike falls 10%. (katherine.hamilton@wsj.com)

(END) Dow Jones Newswires

December 19, 2025 13:00 ET (18:00 GMT)

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