NIKE’s (NKE) Buy Rating Reiterated at DZ Bank

NIKE (NYSE:NKE)‘s stock had its “buy” rating reiterated by DZ Bank in a report issued on Friday,MarketScreener Latest Ratings reports.

NKE has been the topic of several other research reports. Weiss Ratings raised shares of NIKE from a “sell (d+)” rating to a “hold (c-)” rating in a research report on Monday. Needham & Company LLC lowered their price target on shares of NIKE from $78.00 to $68.00 and set a “buy” rating on the stock in a report on Friday. Morgan Stanley set a $72.00 price objective on NIKE and gave the company a “positive” rating in a report on Wednesday, October 1st. JPMorgan Chase & Co. decreased their target price on NIKE from $100.00 to $86.00 and set a “buy” rating for the company in a research report on Monday, November 17th. Finally, The Goldman Sachs Group set a $77.00 price target on NIKE in a research report on Friday. Three equities research analysts have rated the stock with a Strong Buy rating, twenty-five have given a Buy rating and ten have issued a Hold rating to the stock. Based on data from MarketBeat.com, the stock currently has an average rating of “Moderate Buy” and a consensus target price of $78.14.

NIKE Stock Performance

Shares of NIKE stock traded down $6.84 during mid-day trading on Friday, hitting $58.80. 88,746,439 shares of the stock were exchanged, compared to its average volume of 16,258,250. NIKE has a 12 month low of $52.28 and a 12 month high of $82.44. The company has a 50-day simple moving average of $65.18 and a 200 day simple moving average of $69.41. The company has a market capitalization of $86.91 billion, a P/E ratio of 30.15, a P/E/G ratio of 2.32 and a beta of 1.29. The company has a debt-to-equity ratio of 0.59, a quick ratio of 1.45 and a current ratio of 2.19.

NIKE (NYSE:NKE) last issued its quarterly earnings results on Thursday, December 18th. The footwear maker reported $0.53 EPS for the quarter, beating analysts’ consensus estimates of $0.37 by $0.16. NIKE had a return on equity of 21.16% and a net margin of 6.23%.The company had revenue of $12.43 billion during the quarter, compared to the consensus estimate of $12.19 billion. During the same period last year, the business posted $0.78 earnings per share. NIKE’s revenue was up .6% on a year-over-year basis. Sell-side analysts anticipate that NIKE will post 2.05 earnings per share for the current fiscal year.

Insiders Place Their Bets

In other NIKE news, Chairman Mark G. Parker sold 86,078 shares of the firm’s stock in a transaction on Friday, November 14th. The shares were sold at an average price of $64.80, for a total value of $5,577,854.40. Following the completion of the transaction, the chairman directly owned 647,615 shares of the company’s stock, valued at $41,965,452. This trade represents a 11.73% decrease in their position. The sale was disclosed in a document filed with the Securities & Exchange Commission, which is available at this link. Also, Director Jorgen Vig Knudstorp purchased 16,150 shares of the firm’s stock in a transaction dated Friday, November 7th. The stock was purchased at an average cost of $62.09 per share, for a total transaction of $1,002,753.50. Following the acquisition, the director owned 21,388 shares of the company’s stock, valued at approximately $1,327,980.92. This trade represents a 308.32% increase in their position. Additional details regarding this purchase are available in the official SEC disclosure. Corporate insiders own 0.80% of the company’s stock.

Institutional Inflows and Outflows

Hedge funds and other institutional investors have recently modified their holdings of the business. Mitchell Mcleod Pugh & Williams Inc. raised its position in NIKE by 1.0% in the 2nd quarter. Mitchell Mcleod Pugh & Williams Inc. now owns 14,176 shares of the footwear maker’s stock worth $1,007,000 after purchasing an additional 134 shares during the period. Main Street Financial Solutions LLC increased its holdings in shares of NIKE by 4.2% in the second quarter. Main Street Financial Solutions LLC now owns 3,441 shares of the footwear maker’s stock worth $244,000 after buying an additional 139 shares during the period. St. Clair Advisors LLC lifted its stake in shares of NIKE by 0.9% in the 3rd quarter. St. Clair Advisors LLC now owns 15,217 shares of the footwear maker’s stock valued at $1,061,000 after acquiring an additional 140 shares during the last quarter. Caldwell Sutter Capital Inc. boosted its holdings in NIKE by 6.3% during the 2nd quarter. Caldwell Sutter Capital Inc. now owns 2,390 shares of the footwear maker’s stock valued at $170,000 after acquiring an additional 142 shares during the period. Finally, Salomon & Ludwin LLC grew its position in NIKE by 10.1% during the 2nd quarter. Salomon & Ludwin LLC now owns 1,575 shares of the footwear maker’s stock worth $120,000 after acquiring an additional 145 shares during the last quarter. Hedge funds and other institutional investors own 64.25% of the company’s stock.

NIKE News Roundup

Here are the key news stories impacting NIKE this week:

• Positive Sentiment: Beat on top and bottom lines — NIKE reported $12.4B in revenue and $0.53 EPS, topping expectations and showing resilience in topline demand. Read More.
• Positive Sentiment: North America and running category strength — North America sales rose ~9% and running product growth remained strong, supporting the turnaround narrative. Read More.
• Neutral Sentiment: Wholesale improvement offsets some DTC weakness — wholesale grew (helping partner channels) even as Nike Direct sales fell, leaving a mixed channel picture. Read More.
• Neutral Sentiment: Analysts split between maintaining buys and trimming targets — several firms kept buy ratings but lowered price targets, reflecting diverging views on recovery timing. Read More.
• Negative Sentiment: Guidance disappointed — management warned revenue will likely decline low-single-digits next quarter and sees further gross-margin compression, which spooked investors. Read More.
• Negative Sentiment: Tariff headwinds are large and ongoing — NIKE cited significant tariff-related margin pressure (reports cite up to ~$1.5B full-year impact), pressuring profitability. Read More.
• Negative Sentiment: China sales slump — Greater China revenue fell strongly (mid-to-high teens), and Nike Direct China was hit much harder, raising concerns about cultural relevance and recovery time. Read More.
• Negative Sentiment: Margin deterioration and promotional pressure — gross margin declined ~300 bps to ~40.6% on discounting and tariffs, and management expects margins to remain under pressure. Read More.
• Negative Sentiment: Market reaction: heavy selloff — despite beats, investors sold into the report given the outlook and headwinds, driving a sharp decline in the stock. Read More.

About NIKE

Nike, Inc (NYSE: NKE) is a global designer, marketer and distributor of athletic footwear, apparel, equipment and accessories. Founded in 1964 as Blue Ribbon Sports by Phil Knight and Bill Bowerman and renamed Nike in 1971, the company is headquartered near Beaverton, Oregon. Nike develops and commercializes products across performance and lifestyle categories for sports including running, basketball, soccer and training, and is known for signature technologies and design-driven product lines.

The company markets products under several primary brands, including Nike, Jordan and Converse, and sells through a combination of wholesale relationships, branded retail stores and direct-to-consumer channels such as company-operated stores and digital platforms (e.g., Nike.com and mobile apps).