Wall Street analysts are identifying stocks poised to benefit following a landmark Supreme Court ruling that struck down tariffs imposed under the International Emergency Economic Powers Act. The Supreme Court ruling against Trump tariffs has created significant opportunities for companies that previously faced substantial import duties, particularly in the consumer discretionary sector. According to Jefferies analysts, the elimination of these trade barriers introduces meaningful margin tailwinds for businesses heavily exposed to affected countries.
The Supreme Court determined that the IEEPA cannot be used as legal justification for imposing tariffs, effectively removing substantial cost pressures from numerous American companies. Jefferies highlighted five stocks with the largest upside potential from this decision, though questions remain about whether companies will receive refunds for duties already paid.
Jewelry Retailer Sees Dramatic Tariff Relief
Signet Jewelers emerges as a primary beneficiary of the Supreme Court ruling against Trump tariffs, according to Jefferies analysts. The company sources approximately half its inventory from India, a global hub for both natural and laboratory-grown diamonds. With the court’s decision, Signet’s weighted-average tariff exposure drops from 15.1% to zero percent, creating immediate opportunities for margin expansion and earnings growth.
Outdoor Brand Eliminates Significant Cost Pressure
Yeti faced nearly 15% tariff exposure concentrated in its US revenue streams before the ruling. The outdoor products company previously informed investors that IEEPA tariffs created a $0.35 per share earnings impact. The Supreme Court decision eliminates these tariff pressures entirely, potentially adding directly to the company’s bottom line going forward.
Home Appliance Maker Gains Additional Boost
Sharkninja had already taken proactive measures to mitigate tariff impact through supply chain diversification, supplier concessions, strategic pricing adjustments, and promotional activities. However, the company still experienced margin headwinds despite these efforts. The tariff elimination transforms previous cost pressures into earnings benefits, as the company’s successful operational shifts will now compound with the removal of import duties.
Athletic Wear Giant Sees Billion-Dollar Savings
Nike embedded a 7.7% tariff exposure into its fiscal 2026 guidance, representing approximately $1.5 billion in anticipated costs for the athletic footwear and apparel company. Additionally, the elimination of IEEPA tariffs flips this cost burden into a margin tailwind. “The elimination of IEEPA tariffs now flips this dynamic into a margin tailwind, supporting incremental gross margin expansion through FY26,” Jefferies analysts wrote in their research note.
Footwear Company Converts Headwind to Opportunity
Birkenstock incorporated a nearly 7% weighted-average tariff impact into company guidance before the court decision. Meanwhile, the Supreme Court ruling transforms the anticipated margin headwind into a tailwind that could fuel performance exceeding the company’s current outlook, according to Jefferies. The German footwear manufacturer stands to benefit significantly from reduced import costs on products entering the United States market.
Jefferies analysts emphasized that while the ruling eliminates legal authority for these tariffs, uncertainty remains regarding remedies and potential refund mechanisms. The full financial impact on these companies will depend partly on whether businesses can recover duties already paid, though authorities have not confirmed refund procedures or timelines for implementation.
