As Nike Inc. continues an intense turnaround effort, Wall Street is upbeat on the stock’s prospects for the new year.
Other stocks favored by some analysts heading into 2026 include On Holding AG, Amer Sports Inc. and Steven Madden Ltd.
The general consensus is fairly positive for Nike, with the understanding that the turnaround of the brand won’t happen overnight. While sales in North America appear to be “coming out of the doldrums,” according to Williams Trading analyst Sam Poser, the problem is that the “heavy lift needed to fix the Greater China and Converse businesses are greater than expected and are weighing down the stock.” Poser, who has a “buy” rating on shares of Nike, noted that the order book for spring and summer 2026 “is up.”
BTIG’s Robert Drbul also has a “buy” rating on shares of Nike. According to the analyst, wholesale saw growth “in the order book” globally. “It’s more about perseverance than perfection, Drbul said, adding that the management team has growing confidence in its ability to sustain momentum within the two areas that Nike focused on first, running and North America. And there’s also confidence from wholesale partners in the soccer product, with the upcoming 2026 World Cup. Drbul said Nike is investing in the buzzed-about event and that thus far booking units are “40 percent higher than the 2022 World Cup.”
“We believe [Nike chief executive officer Elliott] Hill’s deep expertise in marketplace management is beginning to pay off for the company, especially at wholesale, as the company continues its turnaround efforts,” the BTIG analyst said. “We believe Mr. Hill’s leadership is driving the company toward revitalizing growth amid increasing and persistent competition.”
Jefferies analyst Randal Konik noted that as “green shoots continue,” marketplace cleanup and portfolio resets are “restoring partner trust,” which in turn is positioning Nike for sustainable growth.
While Nike appears to be the top footwear stock pick, there are other names garnering Wall Street’s favor.
TD Cowen’s John Kernan’s hot picks include On and Amer Sports, the parent of the Salomon footwear, Arc’teryx, and Wilson brands.
Kernan said On is among the best positioned companies for growth and upside when compared with consensus expectations, given its premium positioning in performance and lifestyle, as well as management’s consistent innovation across its franchises. He also cited “healthy order book trends” for spring 2026 for its Cloudrunner 3 and Cloudmonster 3 franchises, and noted that management “is pleased” with how its fall 2026 order books are shaping up.
On cofounder and executive co-chairman Caspar Coppetti told investors in a recent conference call that its premium strategy is working. And the shoes are resonating with athletes — Hellen Obiri won the 2025 New York City Marathon wearing On’s Cloudboom Strike LightSpray performance running shoe, featuring the brand’s newest technology — and fashion fans alike as collaborations, such as the one with Burna Boy, are getting the attention of younger consumers.
At Amer Sports, Kernan said the Salomon, Arc’teryx and Wilson brands are all “price leaders” in their respective categories, with longstanding focus on performance and innovation. He also expects that the three brands are poised to continue to take share, noting that Arc’teryx’s sales growth likely will be a primary driver of both Amer’s sales growth and margin expansion over the next several years. TD Cowen’s proprietary research indicates that Arc’teryx has low brand awareness and category penetration, indicating that there’s plenty of opportunity ahead.
When the firm posted third quarter earnings results in November, Amer’s CEO Jie Zheng said Salomon footwear saw “exceptional” growth in the period, noting that footwear continues to be a key growth driver — up 35 percent — for the Arc’teryx brand. Zheng added that Arc’teryx footwear will represent 8 percent of global brand sales for the current fiscal year and that it is expected to “reach 13 percent by 2030.”
Steven Madden Ltd. got the nod from BTIG analyst Janine Stichter as the company could be the biggest beneficiary of the long-awaited rebound in fashion footwear. Madden CEO Edward Rosenfeld said in November when the shoe firm posted third quarter results that the company is seeing “strong performance in dress shoes across various heel heights, as well as casual such as loafers, mary janes and mules.”
Stichter also called out similar comments from executives at Caleres Inc. citing strength in flats and ‘solid performance’ in dress and at Designer Brands Inc. on a renewed momentum in fashion during their earnings conference calls. She also sees the casual athletic trend normalizing for women, a sign that wallet share is shifting to fashion styles.
