Nike Downgraded to Hold; Sportswear Grows 3.9%

HSBC downgraded Nike to Hold from Buy, citing delayed turnaround and expected revenue decline.
HSBC forecasts global sportswear market to expand 3.9% in 2026, with Asia‑Pacific as fastest‑growing region.
Nike projected to lose market share to adidas, On and Arc’teryx, and faces $1.5 bn annual tariff costs.
HSBC warns macro uncertainty, high promotion levels and US tariffs will pressure margins despite potential demand boost from FIFA World Cup.