On September 26, 2023, analysts at Raymond James lowered their price target for NIKE (NYSE: NKE) from $128.00 to $121.00 in a recent note to investors, according to Benzinga. The firm currently has an “outperform” rating on the stock of this footwear maker. Raymond James’ revised target price suggests a potential upside of 33.57% from the current price.
As of Tuesday, NKE’s shares opened at $90.59. The company has a market capitalization of $138.60 billion, with a price-to-earnings ratio of 28.05 and a beta of 1.12. Its fifty-day simple moving average stands at $102.93, while its two-hundred-day simple moving average is at $111.54. Over the past year, the stock has traded between a low of $82.22 and a high of $131.31. Furthermore, NIKE’s debt-to-equity ratio is 0.64, with a current ratio of 2.72 and quick ratio of 1.81.
A number of hedge funds have recently made transactions involving NKE shares as well.
Meiji Yasuda Life Insurance Co increased its stake in NIKE shares by 0.3% during the fourth quarter and now owns 29,026 shares worth approximately $3,396,000.
Vestcor Inc raised its holdings by 0.3% in the fourth quarter as well and now owns around 29,977 shares worth about $3,508,000.
CWS Financial Advisors LLC also raised its stake in NIKE by 2.9% during the first quarter and currently holds approximately 2,896 shares valued at around $355,000.
Essex Savings Bank boosted its ownership by acquiring an additional 83 shares during the first quarter and now owns a total of 6,940 shares worth approximately $851,000.
Finally, West Family Investments Inc. increased its holdings in NIKE by 2.9% during the first quarter, currently holding 3,029 shares that are valued at around $371,000.
Collectively, institutional investors hold a substantial portion of NIKE’s stock, accounting for 63.42% of ownership.
In its latest quarterly earnings report issued on June 29th, 2023, NIKE reported earnings per share (EPS) of $0.66 for the quarter. This fell short of analysts’ consensus estimates of $0.68 by ($0.02). The company recorded revenue of $12.80 billion for the quarter versus analysts’ expectations of $12.58 billion. NIKE achieved a return on equity of 34.01% and a net margin of 9.90%. Moreover, the company’s revenue experienced a year-over-year increase of 4.9%. During the same period last year, NIKE posted EPS of $0.90.
Looking ahead to the remainder of the year, analysts anticipate that NIKE will post earnings per share (EPS) figures totalling approximately $3.71.
In conclusion, with analysts revising their price target downwards but maintaining an “outperform” rating on NIKE stock, investors should carefully consider all available information before making any investment decisions related to this company’s securities.
Price Target Revisions and Insider Trading Activity Cast Uncertainty on NIKE’s Future Performance
In recent times, several brokerages have expressed their opinions on NIKE Inc. (NKE), shedding light on the company’s performance and potential outlook. One such brokerage, Williams Trading, recently revised its price target for NIKE shares from $95.00 to $91.00 and gave the company a “sell” rating in a research note released on September 7th, 2023. Furthermore, Bank of America reduced its price target for NIKE stock from $125.00 to $110.00 in a report published on September 20th. These revisions indicate a certain degree of concern among investors regarding the future prospects of the company.
Adding to this perplexing situation, Stifel Nicolaus also lowered its price objective for NIKE from $143.00 to $135.00 while maintaining a “buy” rating in its research note dated August 28th. Additionally, Barclays decreased its target price for NIKE shares from $127.00 to $124.00 as disclosed in a June 30th research report. Deutsche Bank Aktiengesellschaft followed suit by dropping their price target from $133.00 to $126.00 in a research report dated June 23rd.
It is noteworthy that three investment analysts have rated NIKE’s stock as “sell,” while ten have labeled it as “hold,” and twenty-two issued it a “buy” rating, providing mixed sentiment towards the stock’s future performance.
According to information gathered from Bloomberg, there exists consensus among analysts that NIKE currently holds a “Moderate Buy” rating with an average target price of approximately $124.83.
In other news concerning the company, significant insider trading activity has been observed recently involving top-level executives within NIKE Inc.
Firstly, VP Johanna Nielsen sold a total of 1,706 shares on Thursday, August 3rd at an average selling price of $107 per share, accruing a total value of $182,542. Following this transaction, Nielsen now directly holds 954 shares of the company, valued at approximately $102,078. This sale was officially disclosed in a filing with the Securities and Exchange Commission (SEC), which can be accessed through the SEC’s official website.
In a separate event, EVP Monique S. Matheson sold 40,000 shares of NIKE stock on Tuesday, August 8th at an average price of $108.59 per share, totaling $4,343,600 in value. After completing this transaction, Matheson now directly owns 44,736 shares in the company with an approximate value of $4,857,882.24. This particular sale was also disclosed in an official document filed with the SEC.
It is worth noting that Johanna Nielsen repeated her insider trading activity by selling another 1,706 shares on Thursday, August 3rd at an average price of $107 per share for a total value of $182,542. Following this transaction, Nielsen currently holds 954 shares of NIKE stock valued at around $102,078.
Overall insider trading activities encompassed a total of 157,251 NIKE shares over the past quarter with a cumulative market value reaching approximately $17 million. Consequently,”0.50% ownership of the company’s stock now rests in insider hands.
As perplexing as these developments may seem to industry experts and investors alike, they provide crucial insights into the company’s internal affairs and its significance cannot be underestimated moving forward.
To further explore these developments and gain deeper insights into NIKE Inc.’s future trajectory and potential opportunities or risks that may lie ahead for both stockholders and shareholders alike requires thorough analysis through reliable sources such as financial reports and official statements released by the company itself.
These recent revelations present investors with important details that will ultimately shape their investment decisions regarding NIKE and help them navigate the complex landscape of the sportswear industry.
It is advisable for investors to exercise caution and conduct their own research before making any investment decisions based on the information presented herein.