JD Sports Shares Dip Following Nike's Weak Sales Outlook

JD Sports Fashion PLC (LSE:JD) saw its shares decline by 2.3% to 82.78p on Wednesday, July 1, 2026, as investors reacted to weaker-than-expected results and guidance from major partner Nike Inc.

Nike's fourth-quarter earnings were impacted by a significant tariff-related refund, masking underlying weak performance. Revenue remained flat at $11 billion, the lowest in nearly two years, with notable declines in China and a double-digit drop in its global sportswear business. While Nike's gross margin saw an increase, this was largely due to the refund, with underlying margins remaining relatively flat.

The primary concern for the market was Nike's guidance, which maintained flat earnings forecasts but projected a low- to mid-single-digit decline in revenue for the next two quarters. Nike cited tariff risks, Middle East disruptions, and weak consumer sentiment linked to high oil prices as contributing factors.

Analysts at Peel Hunt noted that while JD Sports is not seen as being at significant risk, the read-across from Nike's results suggests potential downside to consensus EBITDA estimates. Despite these concerns, the broker reiterated its view that JD Sports remains an attractive investment due to its strong global market position.