Why Nike stock is soaring despite a looming billion-dollar tariff hit and its CEO saying sales are ‘not up to the Nike standard’

• Nike stocks soared Friday, despite a 12% revenue slump in the fourth quarter. CEO Elliott Hill told analysts Thursday he expects a better fiscal year ahead, albeit one that begins with a tariff-fueled cost increase estimated at $1 billion.

Nike leadership braced investors for tariff-fueled cost increases and smaller margins during the sportswear company’s Q4 earnings call Thursday.

Still, shares soared 15% on Friday following a better-than-feared quarterly report.