Nike has experienced a significant surge in its stock, climbing 17% as the company navigates a challenging landscape marked by anticipated tariff costs approaching $1 billion from the Trump administration. The CEO has reassured investors about a potential recovery, emphasizing that there are signs of improvement despite a revenue decline of 12% and the ongoing challenges posed by high tariffs. Nike is actively reducing its dependence on Chinese factories and has implemented price increases in the U.S. market to mitigate the impact of elevated costs. While the company reported a decline in Q4 earnings, analysts remain optimistic about its turnaround strategy, indicating that Nike is on the path to recovery after years of setbacks.