Investors probably aren’t looking at Nike’s dramatic sell-off as a “buy the pullback” moment, Wedbush analysts Tom Nikic and Matt Quigley say in a research note. The drop to a multiyear low comes after the shoes and apparel maker reported disappointing fiscal 4Q results and gave a substantial cut to FY25 guidance, indicating that the challenges it faces are more impactful than management had expected, the analysts say. They’re maintaining an outperform rating on the stock with the expectation Nike will eventually sort things out, but the analysts imagine shares will “stay in the proverbial penalty box,” until new product innovations come to bear and management regains some investor trust. Nike plunges 18%.