Nike leads the Dow as investors prep for earnings next week

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Nike (NYSE:NKE) was the top gainer in the Dow Jones Industrial Average in late morning trading on Monday. Shares of Nike tracked up 2% to recapture some of the loss from last week when consumer discretionary stocks sold off.

The athletic apparel giant will issue the next big earnings report from the consumer sector when it spills numbers on September 29.

Ahead of the earnings release, UBS previewed that it does not think Nike (NKE) will raise its FY23 guidance due to the global macro challenges, ongoing supply chain issues, and FX backdrop. However, the firm is still positive on the Buy-rated stock.

“We believe Nike is making progress implementing its Consumer Direct Acceleration strategy and recovering in China. This makes us bullish on Nike’s long-term growth potential,” noted analyst Jay Sole.

Of note, Nike has topped EPS estimates in eight straight quarters.

Earlier in the day, Nike (NKE) landed on Morgan Stanley’s quant screen of dividend stocks to own and avoid