NIKE Sees Unusually Large Options Volume (NYSE:NKE)

NIKE, Inc. (NYSE:NKE) was the recipient of unusually large options trading activity on Friday. Traders bought 182,729 call options on the company. This represents an increase of 59% compared to the average volume of 115,283 call options.

Analyst Upgrades and Downgrades

NKE has been the topic of several research analyst reports. BTIG Research reissued a “buy” rating and issued a $55.00 price objective on shares of NIKE in a research note on Wednesday, July 1st. Robert W. Baird reaffirmed an “outperform” rating and set a $70.00 target price on shares of NIKE in a research report on Wednesday, July 1st. Sanford C. Bernstein reiterated an “outperform” rating and issued a $68.00 target price (down from $72.00) on shares of NIKE in a report on Wednesday, July 29th. Truist Financial set a $42.00 target price on NIKE and gave the stock a “hold” rating in a report on Wednesday. Finally, Guggenheim reissued a “buy” rating and set a $60.00 price target (down from $74.00) on shares of NIKE in a research report on Wednesday, July 1st. One research analyst has rated the stock with a Strong Buy rating, twelve have given a Buy rating, twenty have given a Hold rating and four have issued a Sell rating to the company’s stock. According to data from MarketBeat, the company presently has an average rating of “Hold” and an average price target of $52.94.

Insider Activity at NIKE

In other NIKE news, CFO Matthew Friend sold 2,463 shares of the company’s stock in a transaction dated Wednesday, August 5th. The shares were sold at an average price of $41.60, for a total value of $102,460.80. Following the transaction, the chief financial officer directly owned 82,165 shares in the company, valued at $3,418,064. This represents a 2.91% decrease in their position. The sale was disclosed in a legal filing with the Securities & Exchange Commission, which is available at this hyperlink. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, EVP Philip Mccartney sold 17,398 shares of the firm’s stock in a transaction that occurred on Friday, June 12th. The stock was sold at an average price of $46.18, for a total transaction of $803,439.64. Following the transaction, the executive vice president directly owned 53,133 shares in the company, valued at approximately $2,453,681.94. This trade represents a 24.67% decrease in their ownership of the stock. The SEC filing for this sale provides additional information. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. The sale was made to cover tax withholding obligations related to the vesting of equity awards. Over the last quarter, insiders sold 26,142 shares of company stock worth $1,169,380. 1.10% of the stock is currently owned by corporate insiders.

Institutional Inflows and Outflows

Several large investors have recently made changes to their positions in the stock. Brighton Jones LLC boosted its position in NIKE by 388.5% during the fourth quarter. Brighton Jones LLC now owns 202,411 shares of the footwear maker’s stock valued at $15,316,000 after purchasing an additional 160,980 shares in the last quarter. Caxton Associates LLP bought a new position in NIKE in the first quarter worth about $311,000. United Bank raised its holdings in NIKE by 11.3% in the second quarter. United Bank now owns 17,067 shares of the footwear maker’s stock worth $1,212,000 after purchasing an additional 1,736 shares in the last quarter. NewEdge Advisors LLC lifted its position in shares of NIKE by 0.3% during the second quarter. NewEdge Advisors LLC now owns 64,161 shares of the footwear maker’s stock valued at $4,558,000 after buying an additional 197 shares during the last quarter. Finally, CIBC Asset Management Inc lifted its position in shares of NIKE by 6.5% during the second quarter. CIBC Asset Management Inc now owns 191,268 shares of the footwear maker’s stock valued at $13,588,000 after buying an additional 11,646 shares during the last quarter. 64.25% of the stock is owned by institutional investors.

NIKE Price Performance

Shares of NKE opened at $39.57 on Friday. The company has a debt-to-equity ratio of 0.40, a quick ratio of 1.36 and a current ratio of 1.96. The company has a 50 day moving average price of $41.91 and a 200-day moving average price of $47.11. NIKE has a fifty-two week low of $38.17 and a fifty-two week high of $79.13. The stock has a market capitalization of $58.70 billion, a PE ratio of 18.93, a PEG ratio of 1.76 and a beta of 1.11.

NIKE (NYSE:NKE) last issued its quarterly earnings data on Tuesday, June 30th. The footwear maker reported $0.20 earnings per share (EPS) for the quarter, beating the consensus estimate of $0.11 by $0.09. The company had revenue of $10.97 billion for the quarter, compared to analyst estimates of $10.85 billion. NIKE had a net margin of 6.70% and a return on equity of 16.54%. NIKE’s revenue was down 1.1% compared to the same quarter last year. During the same period last year, the company posted $0.14 earnings per share. Equities analysts predict that NIKE will post 1.74 earnings per share for the current fiscal year.

NIKE Dividend Announcement

The business also recently announced a quarterly dividend, which will be paid on Thursday, October 1st. Shareholders of record on Tuesday, September 1st will be given a dividend of $0.41 per share. This represents a $1.64 annualized dividend and a yield of 4.1%. The ex-dividend date of this dividend is Tuesday, September 1st. NIKE’s dividend payout ratio (DPR) is 78.47%.

Key NIKE News

Here are the key news stories impacting NIKE this week:

• Positive Sentiment: Traders purchased 182,729 NKE call options, 59% above typical daily call volume. The activity may reflect increased bullish speculation, although options positioning does not guarantee sustained buying in the shares.
• Positive Sentiment: Grupo SBF extended its exclusive Nike distribution agreement in Brazil through 2034. The longer arrangement provides continued access to an important Latin American market and supports Nike’s regional distribution network. Grupo SBF Extends Exclusive Nike Distribution Deal in Brazil to 2034
• Neutral Sentiment: NIKE said it will release fiscal first-quarter 2027 results on October 1 after the market close, followed by a management conference call. Investors will look for evidence that the company’s turnaround is improving sales, inventory levels and margins. NIKE Announces First Quarter Fiscal 2027 Earnings and Conference Call
• Neutral Sentiment: NIKE appointed Walmart veteran Jane Ewing as chief commercial officer to help lead its comeback. The hire could strengthen execution and retail strategy, but investors are likely to want measurable results before assigning significant value to the turnaround. Nike Taps Walmart Veteran to Help Drive Comeback
• Negative Sentiment: Reports say Nike’s China business continues to shrink as domestic competitors gain market share and the brand struggles to remain locally relevant. China weakness threatens a key source of long-term growth. Why America’s Biggest Brands Keep Losing in China
• Negative Sentiment: Analysts and market commentary continue to cite soft consumer confidence, weaker traffic, excess legacy inventory and doubts about product innovation. These concerns reinforce expectations for a prolonged recovery and have contributed to reduced price targets and bearish sentiment.

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).