NKE · Q4 FY2026
NIKE, Inc. Q4 FY2026 earnings analysis
By SageNoodle ResearchNeutral
| Metric | Actual | Estimate | Result |
|---|---|---|---|
| Revenue | $10.97B | $11.10B (yr ago) | Miss |
| EPS | $0.72 | $0.14 (yr ago) | Beat |
| Free Cash Flow | $1.50B | $0.36B (yr ago) | Beat |
| Gross Margin | 49.2% | 40.3% (yr ago) | Beat |
| Operating Margin | 12.1% | 2.9% (yr ago) | Beat |
What changed
Derived Q4 FY2026 revenue declined 1.2% year over year to $10.97B, but EPS increased to $0.72 and free cash flow reached $1.50B. Gross margin rose 8.9 percentage points to 49.2%, while operating margin improved 9.2 points to 12.1%; because Q4 is derived by subtracting the first three quarters from annual results, those margin figures warrant caution. For FY2026, revenue grew only 0.2%, operating margin remained 8.4%, and free cash flow fell to $2.18B from $3.27B.
Impact on the investment thesis
With no prior coverage, fair value is initiated at $39.71 rather than revised. The strong derived Q4 margin recovery supports stabilization, but flat annual revenue and weaker full-year cash generation do not yet establish a durable turnaround.