NIKE (NYSE:NKE) Issues Earnings Results, Beats Expectations By $0.59 EPS

NIKE (NYSE:NKE) released its earnings results on Tuesday. The footwear maker reported $0.72 EPS for the quarter, topping analysts’ consensus estimates of $0.13 by $0.59, FiscalAI reports. NIKE had a net margin of 4.84% and a return on equity of 16.41%. The business had revenue of $10.97 billion during the quarter, compared to analysts’ expectations of $10.85 billion.

NIKE Price Performance

NIKE stock traded down $0.40 during mid-day trading on Tuesday, hitting $41.08. 52,420,429 shares of the company were exchanged, compared to its average volume of 20,599,549. NIKE has a 12-month low of $40.00 and a 12-month high of $80.17. The company has a market capitalization of $60.84 billion, a P/E ratio of 27.21, a PEG ratio of 1.77 and a beta of 1.12. The business’s 50 day simple moving average is $44.11 and its two-hundred day simple moving average is $53.74. The company has a debt-to-equity ratio of 0.50, a current ratio of 2.14 and a quick ratio of 1.45.

NIKE Announces Dividend

The business also recently disclosed a quarterly dividend, which will be paid on Wednesday, July 1st. Investors of record on Monday, June 1st will be given a dividend of $0.41 per share. This represents a $1.64 annualized dividend and a dividend yield of 4.0%. The ex-dividend date is Monday, June 1st. NIKE’s payout ratio is currently 108.61%.

Wall Street Analyst Weigh In

Several brokerages have recently weighed in on NKE. CICC Research cut shares of NIKE from an “outperform” rating to a “market perform” rating and lowered their price target for the company from $69.00 to $58.00 in a research report on Monday, April 6th. BTIG Research reissued a “buy” rating and set a $55.00 target price (down from $75.00) on shares of NIKE in a research note on Thursday, June 25th. Bank of America reiterated a “neutral” rating and issued a $55.00 price objective (down from $73.00) on shares of NIKE in a research note on Wednesday, April 1st. Telsey Advisory Group decreased their price target on shares of NIKE from $65.00 to $55.00 and set a “market perform” rating for the company in a research note on Wednesday, April 1st. Finally, Wells Fargo & Company set a $45.00 price target on NIKE and gave the company an “equal weight” rating in a research note on Friday, May 8th. Fourteen investment analysts have rated the stock with a Buy rating, nineteen have assigned a Hold rating and three have assigned a Sell rating to the company. Based on data from MarketBeat, the stock has an average rating of “Hold” and a consensus target price of $58.86.

Insider Buying and Selling

In other news, CEO Elliott Hill acquired 23,660 shares of NIKE stock in a transaction that occurred on Monday, April 13th. The shares were acquired at an average price of $42.27 per share, with a total value of $1,000,108.20. Following the completion of the purchase, the chief executive officer owned 265,247 shares of the company’s stock, valued at approximately $11,211,990.69. This represents a 9.79% increase in their position. The transaction was disclosed in a filing with the Securities & Exchange Commission, which is available at this hyperlink. Also, Director Robert Holmes Swan purchased 11,781 shares of NIKE stock in a transaction on Tuesday, April 7th. The shares were acquired at an average cost of $42.44 per share, for a total transaction of $499,985.64. Following the purchase, the director owned 55,074 shares in the company, valued at approximately $2,337,340.56. This trade represents a 27.21% increase in their ownership of the stock. Additional details regarding this purchase are available in the official SEC disclosure. Insiders bought 64,441 shares of company stock worth $2,734,204 in the last 90 days. 0.80% of the stock is currently owned by corporate insiders.

Institutional Inflows and Outflows

Several hedge funds have recently bought and sold shares of NKE. J.Safra Asset Management Corp purchased a new position in NIKE in the 4th quarter worth approximately $29,000. Kemnay Advisory Services Inc. purchased a new stake in shares of NIKE during the fourth quarter valued at approximately $30,000. Litman Gregory Wealth Management LLC acquired a new position in shares of NIKE during the fourth quarter worth $32,000. Prosperity Bancshares Inc acquired a new position in shares of NIKE during the fourth quarter worth $32,000. Finally, Strive Asset Management LLC purchased a new position in shares of NIKE in the third quarter valued at $40,000. Hedge funds and other institutional investors own 64.25% of the company’s stock.

Key Stories Impacting NIKE

Here are the key news stories impacting NIKE this week:

• Positive Sentiment: Some investors are still betting Nike’s turnaround can work, with bullish commentary pointing to the company’s brand strength, premium pricing strategy, and opportunities to regain momentum if margins and demand improve.
• Positive Sentiment: Analysts expect Nike to eventually benefit from gross margin recovery later this year, which could support a rebound if the company shows signs that inventory and pricing trends are stabilizing.
• Neutral Sentiment: NIKE is scheduled to report fiscal Q4 results after the close, and consensus calls for EPS of about $0.13 on revenue of roughly $10.86 billion; the report itself is the biggest near-term catalyst. Article Title
• Neutral Sentiment: Retail traders appear more constructive than some institutional analysts, but the stock is still trading like a turnaround story and remains highly sensitive to any surprise in guidance or commentary. Article Title
• Negative Sentiment: JPMorgan lowered its price target on Nike to $47 and kept a neutral rating, reflecting ongoing skepticism about the pace of a recovery.
• Negative Sentiment: KeyCorp also cut its earnings estimates for both Q4 and FY2027, signaling that expectations are still moving lower ahead of the print.
• Negative Sentiment: Recent articles highlighted continued concerns about declining profits, weak China demand, and market-share losses, reinforcing the market’s cautious stance on the stock.

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).