This study examined the effects of lower-body compression garments on perceived recovery and subsequent performance in basketball athletes. In a parallel-group design, 30 recreational, male basketball athletes were randomly allocated to either a control (CON, n = 15, loose-fitting clothing) or experimental group (COMP, n = 15, compression garments) for 15 h following fatigue-inducing, basketball-specific exercise in the evening (1600-1800 h). Perceptual measures of fatigue and muscle soreness, as well as physical performance tests (sprints, jumps and agility), were performed pre-exercise, post-exercise, and post-recovery (15 h following exercise). Subjective and objective measures of sleep were recorded following the exercise trial. There were non-significant (p > 0.05), unclear-trivial differences between groups for all performance measures. Perceived post-recovery fatigue (d = -1.27, large) and muscle soreness (d = -1.61, large) were significantly lower in COMP compared to CON (p < 0.05). COMP exhibited better perceived sleep quality (d = 0.42, small, p = 0.18) than CON, with an unclear difference in sleep duration between groups (p > 0.05). Wearing lower-body compression garments overnight improved perceived fatigue and muscle soreness, but had negligible effects on subsequent physical performance in basketball athletes. Future research should focus on longer periods of compression wear following fatiguing exercise.