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NEW YORK (TheStreet) -- Shares of Nike (NKE) were retreating in mid-morning trading on Friday after B. Riley downgraded the stock to "neutral" from "buy."

The firm maintained a $62 price target on shares of the Beaverton, OR-based sportswear company, and noted that the stock is currently trading within $5 of it.

B. Riley believes that attitude toward the stock has been misplaced, according to TheFly.

The company's sequential improvement in its basketball segment has been countered by weakness within its running business, B. Riley noted. 

Futures will likely be flat or down quarter-over-quarter when Nike posts fiscal 2017 first-quarter results next month, the firm said.

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TheStreet Recommends

Separately, TheStreet Ratings team rates the stock as a "buy" with a ratings score of B+.

Nike's strengths such as its revenue growth, largely solid financial position with reasonable debt levels by most measures, notable return on equity and expanding profit margins outweigh the fact that the company has had sub par growth in net income.

You can view the full analysis from the report here: NKE

TheStreet Ratings objectively rated this stock according to its "risk-adjusted" total return prospect over a 12-month investment horizon. Not based on the news in any given day, the rating may differ from Jim Cramer's view or that of this article's author. 

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