Nike's shares are rallying after it named a new CEO. One analyst says it still has work to do

Nike Inc. announced the appointment of Elliott Hill as its new CEO, replacing John Donahoe, effective October 14. Following the news, Nike's shares surged over 10% in after-hours trading. Hill, a company veteran, faces challenges including rising competition and changes in consumer behavior. Analysts express cautious optimism about Hill's leadership, while noting the company's recent disappointing quarterly results and a 20% decline in stock value during Donahoe's tenure. Nike aims to address these issues by focusing on new product development and a renewed emphasis on brick-and-mortar retail.