It has been a tough year for Nike. The stock has plummeted nearly 40%, battered by investor concerns over slowing demand and inventory issues. But a second-quarter earnings and sales beat on Tuesday boosted hopes that the athletic giant’s luck is changing, sending the stock higher in after-hours trading.

Nike (ticker:


NKE


) posted GAAP earnings of 85 cents a share on $13.3 billion in sales. Analysts were forecasting earnings of 67 cents a share on $12.58 billion in sales for the quarter, according to FactSet.