Nike price target lowered to $126 from $127 at Morgan Stanley

Morgan Stanley lowered the firm’s price target on Nike to $126 from $127 and keeps an Overweight rating on the shares ahead of the company’s upcoming fiscal Q1 report. The firm thinks fiscal Q1 earnings are likely to come in in-line with the Street, though it sees risk to Q2 guidance given a tough comparison and “bloated channel inventories limiting sell-in,” the analyst tells investors in a preview note. However, the firm sees more minimal chance of a fiscal-year guidance cut given what it calls “an already-low bar” as well as the potential for restocking-driven upside in the second half.