NIKE Valuation

Is NIKE undervalued compared to its fair value, analyst forecasts and its price relative to the market?

Valuation Score

1/6

Valuation Score 1/6

  • Below Fair Value

  • Significantly Below Fair Value

  • Price-To-Earnings vs Peers

  • Price-To-Earnings vs Industry

  • Price-To-Earnings vs Fair Ratio

  • Analyst Forecast

Share Price vs Fair Value

What is the Fair Price of NIKE when looking at its future cash flows? For this estimate we use a Discounted Cash Flow model.

Below Fair Value: NIKE (PLN310) is trading above our estimate of fair value (PLN247.67)

Significantly Below Fair Value: NIKE is trading above our estimate of fair value.


Key Valuation Metric

Which metric is best to use when looking at relative valuation for NIKE?

Key metric: As NIKE is profitable we use its Price-To-Earnings Ratio for relative valuation analysis.

The above table shows the Price to Earnings ratio for NIKE. This is calculated by dividing NIKE's market cap by their current earnings.
What is NIKE's PE Ratio?
PE Ratio23.4x
EarningsUS$4.89b
Market CapUS$114.52b

Price to Earnings Ratio vs Peers

How does NIKE's PE Ratio compare to its peers?

The above table shows the PE ratio for NIKE vs its peers. Here we also display the market cap and forecasted growth for additional consideration.
CompanyForward PEEstimated GrowthMarket Cap
Peer Average28.3x
LPP LPP
16.4x18.4%zł29.2b
DECK Deckers Outdoor
36.6x8.3%US$32.1b
300979 Huali Industrial Group
23.3x13.7%CN¥87.5b
7936 ASICS
36.8x10.2%JP¥2.2t
NIKE NIKE
23.4x3.0%zł114.5b

Price-To-Earnings vs Peers: NIKE is good value based on its Price-To-Earnings Ratio (23.4x) compared to the peer average (28.3x).


Price to Earnings Ratio vs Industry

How does NIKE's PE Ratio compare vs other companies in the European Luxury Industry?

4 CompaniesPrice / EarningsEstimated GrowthMarket Cap
NIKE 23.4xIndustry Avg. 16.1xNo. of Companies8PE01020304050+
4 CompaniesEstimated GrowthMarket Cap
No more companies

Price-To-Earnings vs Industry: NIKE is expensive based on its Price-To-Earnings Ratio (23.4x) compared to the European Luxury industry average (16.1x).


Price to Earnings Ratio vs Fair Ratio

What is NIKE's PE Ratio compared to its Fair PE Ratio? This is the expected PE Ratio taking into account the company's forecast earnings growth, profit margins and other risk factors.

NIKE PE Ratio vs Fair Ratio.
Fair Ratio
Current PE Ratio23.4x
Fair PE Ration/a

Price-To-Earnings vs Fair Ratio: Insufficient data to calculate NIKE's Price-To-Earnings Fair Ratio for valuation analysis.


Analyst Price Targets

What is the analyst 12-month forecast and do we have any statistical confidence in the consensus price target?

The above table shows the analyst NIKE forecast and predictions for the stock price in 12 month’s time.
DateShare PriceAverage 1Y Price TargetDispersionHighLow1Y Actual priceAnalysts
Currentzł310.00
zł354.36
+14.3%
17.0%zł490.21zł204.26n/a34
Dec ’25n/a
zł368.83
0%
15.2%zł487.10zł231.37n/a34
Nov ’25n/a
zł360.47
0%
14.7%zł472.01zł224.20n/a34
Oct ’25n/a
zł356.55
0%
15.9%zł477.24zł219.38n/a34
Sep ’25n/a
zł349.60
0%
16.2%zł472.59zł228.67n/a34
Aug ’25n/a
zł362.70
0%
17.0%zł491.49zł237.82n/a33
Jul ’25n/a
zł386.80
0%
17.0%zł519.07zł241.43n/a33
Jun ’25n/a
zł442.06
0%
12.4%zł516.54zł298.01n/a34
May ’25n/a
zł452.88
0%
12.8%zł554.82zł302.72n/a35
Apr ’25n/a
zł453.26
0%
12.4%zł547.79zł298.88n/a37
Mar ’25n/a
zł493.56
0%
11.2%zł571.89zł354.41n/a37
Feb ’25n/a
zł495.01
0%
11.5%zł601.25zł352.73n/a37
Jan ’25n/a
zł484.19
0%
11.7%zł587.15zł344.46n/a36
Dec ’24n/a
zł485.02
0%
13.0%zł601.62zł352.95n/a35
Nov ’24n/a
zł509.93
0%
13.2%zł631.76zł370.63n/a33
Oct ’24n/a
zł539.20
0%
13.2%zł655.23zł384.40n/a33
Sep ’24n/a
zł531.78
0%
11.6%zł628.29zł380.60n/a33
Aug ’24n/a
zł513.23
0%
11.7%zł605.23zł366.64n/a33
Jul ’24n/a
zł528.54
0%
11.2%zł617.34zł386.17n/a34
Jun ’24n/a
zł571.54
0%
11.6%zł672.27zł399.16n/a33
May ’24n/a
zł572.78
0%
11.4%zł677.90zł415.22n/a33
Apr ’24n/a
zł579.91
0%
11.8%zł690.35zł422.84n/a33
Mar ’24n/a
zł584.72
0%
13.9%zł825.51zł379.29n/a34
Feb ’24n/a
zł564.03
0%
13.6%zł801.70zł368.35n/a34
Jan ’24n/a
zł551.35
0%
13.3%zł807.77zł371.14n/a34
Dec ’23n/a
zł497.52
0%
19.5%zł836.20zł348.04n/a33

Analyst Forecast: Target price is less than 20% higher than the current share price.


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Company Analysis and Financial Data Status

DataLast Updated (UTC time)
Company Analysis2024/12/22 02:27
End of Day Share Price 2024/12/20 00:00
Earnings2024/11/30
Annual Earnings2024/05/31

Data Sources

The data used in our company analysis is from S&P Global Market Intelligence LLC. The following data is used in our analysis model to generate this report. Data is normalised which can introduce a delay from the source being available.

PackageDataTimeframeExample US Source *
Company Financials10 years
  • Income statement
  • Cash flow statement
  • Balance sheet
Analyst Consensus Estimates+3 years
  • Forecast financials
  • Analyst price targets
Market Prices30 years
  • Stock prices
  • Dividends, Splits and Actions
Ownership10 years
  • Top shareholders
  • Insider trading
Management10 years
  • Leadership team
  • Board of directors
Key Developments10 years
  • Company announcements

* example for US securities, for non-US equivalent regulatory forms and sources are used.

Unless specified all financial data is based on a yearly period but updated quarterly. This is known as Trailing Twelve Month (TTM) or Last Twelve Month (LTM) Data. Learn more here.

Analysis Model and Snowflake

Details of the analysis model used to generate this report is available on our Github page, we also have guides on how to use our reports and tutorials on Youtube.

Learn about the world class team who designed and built the Simply Wall St analysis model.

Industry and Sector Metrics

Our industry and section metrics are calculated every 6 hours by Simply Wall St, details of our process are available on .

Analyst Sources

NIKE, Inc. is covered by 87 analysts. 36 of those analysts submitted the estimates of revenue or earnings used as inputs to our report. Analysts submissions are updated throughout the day.

AnalystInstitution
David HeasmanAccountability Research Corporation
John StaszakArgus Research Company
David TurnerAvondale Partners