11:26 AM EDT, 03/10/2025 (MT Newswires) -- Nike's ( NKE ) global sales growth trends "deteriorated" over the last quarter, potentially leading the company to post fiscal Q3 earnings per share just in line with Street expectations, UBS Securities said in a Sunday note.

UBS said the company's US direct-to-consumer sales growth in fiscal Q3 was weak based on its checks and industry data. Nike's ( NKE ) Europe business and sales growth trend in China also underperformed during the quarter, the investment firm added.

Meanwhile, UBS Evidence Lab's pricing data indicated that Nike's ( NKE ) fiscal Q3 promotions increased on a yearly basis, according to the note.

"We see risk Nike's ( NKE ) fiscal 2026 commentary would be meaningfully below expectations, causing Street EPS estimates to fall and market sentiment to weaken," UBS said.

Nike ( NKE ) is set to release its fiscal Q3 results on March 20.

UBS reiterated its neutral rating on Nike ( NKE ), with a price target of $73.

Price: 79.47, Change: +0.88, Percent Change: +1.12