NIKE (NYSE:NKE) Announces Quarterly Earnings Results, Beats Estimates By $0.09 EPS

NIKE (NYSE:NKE) issued its quarterly earnings data on Tuesday. The footwear maker reported $0.20 EPS for the quarter, beating the consensus estimate of $0.11 by $0.09, Zacks reports. NIKE had a net margin of 4.84% and a return on equity of 16.41%. The company had revenue of $10.97 billion during the quarter, compared to analysts’ expectations of $10.85 billion. During the same quarter in the previous year, the company earned $0.14 earnings per share. NIKE’s revenue for the quarter was down 1.1% on a year-over-year basis.

Here are the key takeaways from NIKE’s conference call:

• NIKE said its performance business continued to strengthen, with running delivering five straight quarters of double-digit growth and roughly $1 billion of added business over that stretch. Management also highlighted share gains in running across Western Europe and North America.
• The company is leaning into its new Sport Offense operating model, moving about 8,000 employees into sport-focused teams and simplifying supply chain and technology to improve speed and execution. Leadership framed this as the foundation for longer-term growth rather than a near-term fix.
• Sportswear and Jordan streetwear remain weak, with sell-through still challenged and management expecting both businesses to stay negative in fiscal 2027. NIKE said these categories represent about half of revenue, making their recovery critical to a broader turnaround.
• North America showed the clearest momentum, with Q4 revenue up 3% and wholesale up 10%, while Foot Locker became positive on both revenue and retail sales for the first time in four years. Management said the region is leading the company’s comeback and that its marketplace cleanup is improving profitability.
• NIKE took a major one-time tariff recovery benefit of $986 million in Q4, which boosted reported EPS and gross margin; excluding it, gross margin was essentially flat year over year. Even so, tariffs remain a headwind, and the company is guiding for revenue down low-to-mid single digits with gross margin expansion beginning earlier in fiscal 2027.

NIKE Price Performance

Shares of NIKE stock traded up $1.62 during trading on Wednesday, reaching $42.67. The company’s stock had a trading volume of 46,422,648 shares, compared to its average volume of 21,014,441. The company has a quick ratio of 1.45, a current ratio of 2.14 and a debt-to-equity ratio of 0.50. NIKE has a 12-month low of $40.00 and a 12-month high of $80.17. The company has a market capitalization of $63.20 billion, a P/E ratio of 28.28, a price-to-earnings-growth ratio of 1.81 and a beta of 1.12. The business has a 50 day moving average price of $44.01 and a 200-day moving average price of $53.56.

NIKE Dividend Announcement

The business also recently announced a quarterly dividend, which will be paid on Wednesday, July 1st. Stockholders of record on Monday, June 1st will be issued a $0.41 dividend. The ex-dividend date of this dividend is Monday, June 1st. This represents a $1.64 dividend on an annualized basis and a dividend yield of 3.8%. NIKE’s payout ratio is presently 108.61%.

Analyst Ratings Changes

NKE has been the topic of a number of recent research reports. Wells Fargo & Company reduced their target price on shares of NIKE from $45.00 to $40.00 and set an “equal weight” rating on the stock in a research report on Wednesday. Wall Street Zen upgraded shares of NIKE from a “sell” rating to a “hold” rating in a research note on Saturday, May 16th. Royal Bank Of Canada restated a “neutral” rating on shares of NIKE in a research note on Wednesday. Weiss Ratings cut shares of NIKE from a “sell (d+)” rating to a “sell (d)” rating in a research note on Monday, June 8th. Finally, Telsey Advisory Group set a $47.00 price objective on shares of NIKE and gave the company a “market perform” rating in a research report on Wednesday. Fourteen investment analysts have rated the stock with a Buy rating, nineteen have assigned a Hold rating and three have given a Sell rating to the stock. According to MarketBeat, the stock presently has a consensus rating of “Hold” and an average price target of $56.04.

Insider Activity at NIKE

In other news, CEO Elliott Hill bought 23,660 shares of the firm’s stock in a transaction on Monday, April 13th. The shares were bought at an average cost of $42.27 per share, for a total transaction of $1,000,108.20. Following the completion of the transaction, the chief executive officer owned 265,247 shares in the company, valued at $11,211,990.69. This trade represents a 9.79% increase in their ownership of the stock. The purchase was disclosed in a document filed with the Securities & Exchange Commission, which is available through this hyperlink. Also, Director Timothy D. Cook purchased 25,000 shares of the business’s stock in a transaction dated Friday, April 10th. The stock was bought at an average cost of $42.43 per share, with a total value of $1,060,750.00. Following the completion of the acquisition, the director owned 130,480 shares of the company’s stock, valued at approximately $5,536,266.40. The trade was a 23.70% increase in their ownership of the stock. The disclosure for this purchase is available in the SEC filing. Insiders bought 64,441 shares of company stock valued at $2,734,204 in the last 90 days. 0.80% of the stock is owned by corporate insiders.

Hedge Funds Weigh In On NIKE

A number of institutional investors have recently made changes to their positions in NKE. Harris Associates L P increased its stake in NIKE by 72.3% in the fourth quarter. Harris Associates L P now owns 14,956,882 shares of the footwear maker’s stock valued at $952,903,000 after purchasing an additional 6,277,987 shares during the last quarter. Invesco Ltd. increased its stake in NIKE by 6.4% in the fourth quarter. Invesco Ltd. now owns 13,366,254 shares of the footwear maker’s stock valued at $851,564,000 after purchasing an additional 804,920 shares during the last quarter. Charles Schwab Investment Management Inc. increased its stake in NIKE by 2.6% in the fourth quarter. Charles Schwab Investment Management Inc. now owns 10,451,561 shares of the footwear maker’s stock valued at $665,870,000 after purchasing an additional 267,882 shares during the last quarter. Viking Global Investors LP increased its stake in NIKE by 29.1% in the third quarter. Viking Global Investors LP now owns 8,996,579 shares of the footwear maker’s stock valued at $627,331,000 after purchasing an additional 2,029,381 shares during the last quarter. Finally, Loomis Sayles & Co. L P increased its stake in NIKE by 21.0% in the fourth quarter. Loomis Sayles & Co. L P now owns 7,963,782 shares of the footwear maker’s stock valued at $507,373,000 after purchasing an additional 1,380,721 shares during the last quarter. 64.25% of the stock is owned by institutional investors and hedge funds.

NIKE News Summary

Here are the key news stories impacting NIKE this week:

• Positive Sentiment: NIKE posted Q4 EPS of $0.20 and revenue of $10.97 billion, both ahead of Wall Street estimates, while management also highlighted margin improvement and a more disciplined “margin-first” reset. NIKE, Inc. Reports Fiscal 2026 Fourth Quarter and Full Year Results
• Positive Sentiment: Several analysts still see upside from current levels: Jefferies kept a Buy rating, BTIG reaffirmed Buy, and Barclays maintained Overweight even after cutting its target, signaling that some firms believe the long-term recovery story remains intact. Analyst rating updates
• Neutral Sentiment: RBC and UBS reiterated Neutral ratings, while Citigroup, Goldman Sachs, Piper Sandler, Bank of America and Wells Fargo all reduced price targets, showing a broadly cautious Wall Street stance rather than a clear bullish or bearish consensus. Analyst target cuts and rating updates
• Negative Sentiment: China sales fell 12%, and multiple reports said NIKE warned that the turnaround will take longer as consumer demand and marketplace cleanup remain uneven. Nike earnings, revenue top estimates even as China sales drop 12%
• Negative Sentiment: Investors also reacted to the company’s cautious guidance and the fact that shares touched multi-year lows before and after the report, suggesting the market wants clearer proof of a sustained recovery before rerating the stock. 5 Things to Know Before the Stock Market Opens on Wednesday, July 1, 2026

NIKE Company Profile

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).