NIKE, Inc., together with its subsidiaries, designs, develops, markets, and sells athletic footwear, apparel, equipment, and accessories worldwide. More Details
Adequate balance sheet second-rate dividend payer.
Share Price & News
How has NIKE's share price performed over time and what events caused price changes?
Latest Share Price and Events
Stable Share Price: NKE is less volatile than 75% of US stocks over the past 3 months, typically moving +/- 4% a week.
Volatility Over Time: NKE's weekly volatility (4%) has been stable over the past year.
7 Day Return
1 Year Return
Return vs Industry: NKE underperformed the US Luxury industry which returned 70.6% over the past year.
Return vs Market: NKE underperformed the US Market which returned 57.5% over the past year.
Long-Term Price Volatility Vs. Market
How volatile is NIKE's share price compared to the market and industry in the last 5 years?
Simply Wall St News
1 week ago | Simply Wall StIf You Had Bought NIKE (NYSE:NKE) Stock Five Years Ago, You Could Pocket A 123% Gain Today
3 weeks ago | Simply Wall StNIKE's (NYSE:NKE) Returns On Capital Not Reflecting Well On The Business
1 month ago | Simply Wall StWe Think NIKE (NYSE:NKE) Can Stay On Top Of Its Debt
Is NIKE undervalued compared to its fair value and its price relative to the market?
Price to Earnings (PE) ratio
Share Price vs. Fair Value
Below Fair Value: NKE ($134.31) is trading above our estimate of fair value ($92.72)
Significantly Below Fair Value: NKE is trading above our estimate of fair value.
Price To Earnings Ratio
PE vs Industry: NKE is poor value based on its PE Ratio (61.4x) compared to the US Luxury industry average (26.9x).
PE vs Market: NKE is poor value based on its PE Ratio (61.4x) compared to the US market (22.3x).
Price to Earnings Growth Ratio
PEG Ratio: NKE is poor value based on its PEG Ratio (3.7x)
Price to Book Ratio
PB vs Industry: NKE is overvalued based on its PB Ratio (17.8x) compared to the US Luxury industry average (2x).
How is NIKE forecast to perform in the next 1 to 3 years based on estimates from 29 analysts?
Forecasted annual earnings growth
Earnings and Revenue Growth Forecasts
Analyst Future Growth Forecasts
Earnings vs Savings Rate: NKE's forecast earnings growth (16.5% per year) is above the savings rate (2%).
Earnings vs Market: NKE's earnings (16.5% per year) are forecast to grow slower than the US market (18.4% per year).
High Growth Earnings: NKE's earnings are forecast to grow, but not significantly.
Revenue vs Market: NKE's revenue (9.4% per year) is forecast to grow slower than the US market (9.4% per year).
High Growth Revenue: NKE's revenue (9.4% per year) is forecast to grow slower than 20% per year.
Earnings per Share Growth Forecasts
Future Return on Equity
Future ROE: NKE's Return on Equity is forecast to be very high in 3 years time (61.8%).
How has NIKE performed over the past 5 years?
Historical annual earnings growth
Earnings and Revenue History
Quality Earnings: NKE has high quality earnings.
Growing Profit Margin: NKE's current net profit margins (8.9%) are lower than last year (10.5%).
Past Earnings Growth Analysis
Earnings Trend: NKE's earnings have declined by 3.1% per year over the past 5 years.
Accelerating Growth: NKE's has had negative earnings growth over the past year, so it can't be compared to its 5-year average.
Earnings vs Industry: NKE had negative earnings growth (-20.6%) over the past year, making it difficult to compare to the Luxury industry average (-8.7%).
Return on Equity
High ROE: NKE's Return on Equity (28.7%) is considered high.
How is NIKE's financial position?
Financial Position Analysis
Short Term Liabilities: NKE's short term assets ($24.7B) exceed its short term liabilities ($8.9B).
Long Term Liabilities: NKE's short term assets ($24.7B) exceed its long term liabilities ($15.4B).
Debt to Equity History and Analysis
Debt Level: NKE's debt to equity ratio (78.9%) is considered high.
Reducing Debt: NKE's debt to equity ratio has increased from 16.5% to 78.9% over the past 5 years.
Debt Coverage: NKE's debt is well covered by operating cash flow (49.3%).
Interest Coverage: NKE's interest payments on its debt are well covered by EBIT (17.6x coverage).
What is NIKE current dividend yield, its reliability and sustainability?
Current Dividend Yield
Dividend Yield vs Market
Notable Dividend: NKE's dividend (0.82%) isn’t notable compared to the bottom 25% of dividend payers in the US market (1.24%).
High Dividend: NKE's dividend (0.82%) is low compared to the top 25% of dividend payers in the US market (3.48%).
Stability and Growth of Payments
Stable Dividend: NKE's dividend payments have been volatile in the past 10 years.
Growing Dividend: NKE's dividend payments have increased over the past 10 years.
Current Payout to Shareholders
Dividend Coverage: With its reasonably low payout ratio (47.5%), NKE's dividend payments are well covered by earnings.
Future Payout to Shareholders
Future Dividend Coverage: NKE's dividends in 3 years are forecast to be well covered by earnings (27.5% payout ratio).
How experienced are the management team and are they aligned to shareholders interests?
Average management tenure
John Donahoe (59 yo)
Mr. John J. Donahoe, II, has been Non-Executive Chairman and Director of PayPal Holdings, Inc. since July 17, 2015. He serves as Vice Chairman of the Advisory Council at Stanford Graduate School of Busines...
CEO Compensation Analysis
Compensation vs Market: John's total compensation ($USD54.38M) is above average for companies of similar size in the US market ($USD11.02M).
Compensation vs Earnings: John's compensation has increased by more than 20% whilst company earnings have fallen more than 20% in the past year.
Experienced Management: NKE's management team is not considered experienced ( 1.6 years average tenure), which suggests a new team.
Experienced Board: NKE's board of directors are considered experienced (5.3 years average tenure).
Who are the major shareholders and have insiders been buying or selling?
Insider Trading Volume
Insider Buying: Insufficient data to determine if insiders have bought more shares than they have sold in the past 3 months.
Dilution of Shares: Shareholders have not been meaningfully diluted in the past year.
NIKE, Inc.'s company bio, employee growth, exchange listings and data sources
- Name: NIKE, Inc.
- Ticker: NKE
- Exchange: NYSE
- Founded: 1964
- Industry: Footwear
- Sector: Consumer Durables
- Market Cap: US$210.481b
- Shares outstanding: 1.58b
- Website: https://www.nike.com
Number of Employees
- NIKE, Inc.
- One Bowerman Drive
- United States
NIKE, Inc., together with its subsidiaries, designs, develops, markets, and sells athletic footwear, apparel, equipment, and accessories worldwide. The company offers NIKE brand products in six categories,...
Company Analysis and Financial Data Status
|Data||Last Updated (UTC time)|
|Company Analysis||2021/04/16 22:33|
|End of Day Share Price||2021/04/16 00:00|
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.