NIKE (NYSE:NKE) Downgraded by Williams Trading to “Hold”

NIKE (NYSE:NKE) was downgraded by research analysts at Williams Trading from a “strong-buy” rating to a “hold” rating in a research note issued on Friday, Zacks reports.

Several other research analysts have also recently weighed in on the stock. Royal Bank Of Canada decreased their price objective on shares of NIKE from $45.00 to $40.00 and set a “sector perform” rating for the company in a report on Tuesday. Deutsche Bank Aktiengesellschaft cut their target price on shares of NIKE from $45.00 to $37.00 and set a “hold” rating for the company in a research report on Monday, September 28th. Benchmark upgraded shares of NIKE to a “hold” rating in a research note on Tuesday, September 22nd. Sanford C. Bernstein reissued an “outperform” rating and set a $45.00 price target on shares of NIKE in a report on Friday. Finally, Wall Street Zen downgraded NIKE from a “hold” rating to a “sell” rating in a research note on Saturday. One analyst has rated the stock with a Strong Buy rating, eight have assigned a Buy rating, twenty-two have issued a Hold rating and eight have assigned a Sell rating to the company’s stock. According to data from MarketBeat.com, NIKE presently has a consensus rating of “Hold” and an average target price of $42.12.

NIKE Trading Down 3.6%

NIKE stock opened at $33.88 on Friday. NIKE has a one year low of $31.97 and a one year high of $74.78. The business’s fifty day moving average is $38.88 and its 200 day moving average is $42.88. The stock has a market capitalization of $50.27 billion, a PE ratio of 16.29, a price-to-earnings-growth ratio of 2.42 and a beta of 1.09. The company has a debt-to-equity ratio of 0.40, a current ratio of 1.96 and a quick ratio of 1.36.

NIKE (NYSE:NKE) last issued its earnings results on Thursday, October 1st. The footwear maker reported $0.48 earnings per share for the quarter, topping analysts’ consensus estimates of $0.43 by $0.05. The business had revenue of $11.21 billion during the quarter, compared to analyst estimates of $11.32 billion. NIKE had a return on equity of 16.18% and a net margin of 6.74%.NIKE’s revenue was down 4.3% on a year-over-year basis. During the same quarter in the previous year, the firm earned $0.49 EPS. NIKE has set its FY 2027 guidance at 1.150-1.350 EPS. On average, sell-side analysts predict that NIKE will post 1.61 EPS for the current year.

Insider Buying and Selling

In other NIKE news, COO Venkatesh Alagirisamy sold 3,671 shares of NIKE stock in a transaction that occurred on Wednesday, September 9th. The shares were sold at an average price of $37.59, for a total transaction of $137,992.89. Following the transaction, the chief operating officer owned 104,862 shares of the company’s stock, valued at $3,941,762.58. The trade was a 3.38% decrease in their ownership of the stock. The sale was disclosed in a document filed with the Securities & Exchange Commission, which is available through the SEC website. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, EVP Philip McCartney sold 2,559 shares of the company’s stock in a transaction that occurred on Wednesday, September 9th. The stock was sold at an average price of $37.59, for a total transaction of $96,192.81. Following the completion of the transaction, the executive vice president owned 78,121 shares of the company’s stock, valued at approximately $2,936,568.39. The trade was a 3.17% 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. In the last quarter, insiders have sold 14,974 shares of company stock valued at $600,126. Insiders own 1.10% of the company’s stock.

Institutional Trading of NIKE

Several institutional investors and hedge funds have recently modified their holdings of the company. Confluence Investment Management LLC raised its holdings in shares of NIKE by 873.8% in the 3rd quarter. Confluence Investment Management LLC now owns 2,720,616 shares of the footwear maker’s stock valued at $96,310,000 after purchasing an additional 2,441,233 shares in the last quarter. QRG Capital Management Inc. lifted its position in shares of NIKE by 8.5% in the 2nd quarter. QRG Capital Management Inc. now owns 106,883 shares of the footwear maker’s stock worth $4,388,000 after purchasing an additional 8,338 shares during the period. Envestnet Portfolio Solutions Inc. boosted its stake in shares of NIKE by 214.0% during the second quarter. Envestnet Portfolio Solutions Inc. now owns 32,596 shares of the footwear maker’s stock valued at $1,338,000 after purchasing an additional 22,215 shares in the last quarter. Envestnet Asset Management Inc. boosted its stake in shares of NIKE by 98.4% during the second quarter. Envestnet Asset Management Inc. now owns 2,202,581 shares of the footwear maker’s stock valued at $90,416,000 after purchasing an additional 1,092,282 shares in the last quarter. Finally, State Street Corp increased its holdings in NIKE by 6.8% during the second quarter. State Street Corp now owns 63,598,789 shares of the footwear maker’s stock valued at $2,636,104,000 after buying an additional 4,052,428 shares during the period. 64.25% of the stock is currently owned by institutional investors.

More NIKE News

Here are the key news stories impacting NIKE this week:

• Positive Sentiment: NIKE reported fiscal Q1 EPS of $0.48, above the $0.43 analyst consensus. The company also retains a strong balance sheet, with approximately $8.4 billion in cash and short-term investments, while its dividend yield is approaching 5%. NIKE Posts Earnings Results
• Positive Sentiment: Some analysts see the selloff as an opportunity. Freedom Broker upgraded NKE from “sell” to “buy” with a $51 price target, while BTIG maintained a “buy” rating with a $50 target. Bernstein called the stock “de-risked” following the earnings release. Bernstein says Nike stock is de-risked
• Neutral Sentiment: NIKE is launching the Pace restructuring program, targeting approximately $2.5 billion in savings. Management said the plan is intended to simplify operations and support performance categories, but implementation will include further job cuts likely extending into 2027. NIKE fiscal 2027 first-quarter results
• Neutral Sentiment: The company’s dividend appears supported by its liquidity and history of 24 consecutive years of increases, although a higher yield also reflects the stock’s substantial decline and investors’ concerns about future earnings.
• Negative Sentiment: Fiscal Q1 revenue fell 4.3% year over year to $11.21 billion, below the $11.32 billion consensus estimate. Weakness in Greater China, Sportswear and Jordan continued to weigh on sales, while competition and changing consumer preferences are pressuring the brand. Nike plans more job cuts and forecasts revenue drop
• Negative Sentiment: Management expects fiscal 2027 revenue to decline by a high-single-digit percentage and provided EPS guidance of $1.15–$1.35, well below the roughly $1.66 analyst consensus. The outlook suggests Nike’s turnaround may take longer and be more costly than investors expected. Nike shares fall after weak outlook and layoffs
• Negative Sentiment: Several firms reduced price targets, including Citi to $32 and JPMorgan to $33, with neutral or underweight ratings. Zacks also placed NKE on its Strong Sell list, reinforcing concerns about margin pressure, China weakness and delayed recovery.

NIKE Company Profile

NIKE, Inc is a global sportswear company that designs, develops, markets and sells athletic footwear, apparel, equipment, accessories and related services. Its products are marketed under the NIKE, Jordan and Converse brands and are used across a broad range of sports and lifestyle activities, including running, basketball, football, training and outdoor pursuits.

The company distributes its products through a combination of wholesale partners, NIKE-owned retail stores and digital platforms.