Investors Buy Shares of Nike (NKE) on Weakness

Investors purchased shares of Nike Inc (NYSE:NKE) on weakness during trading on Wednesday. $166.30 million flowed into the stock on the tick-up and $79.87 million flowed out of the stock on the tick-down, for a money net flow of $86.43 million into the stock. Of all companies tracked, Nike had the 3rd highest net in-flow for the day. Nike traded down ($0.14) for the day and closed at $76.59

NKE has been the subject of several recent research reports. Morgan Stanley set a $88.00 target price on shares of Nike and gave the company a “buy” rating in a research report on Wednesday, September 19th. Canaccord Genuity set a $95.00 price target on shares of Nike and gave the stock a “buy” rating in a research report on Tuesday, September 18th. Piper Jaffray Companies set a $93.00 price target on shares of Nike and gave the stock a “buy” rating in a research report on Monday, September 17th. Goldman Sachs Group set a $81.00 price target on shares of Nike and gave the stock a “buy” rating in a research report on Thursday, September 20th. Finally, Guggenheim upped their price target on shares of Nike to $100.00 and gave the stock a “buy” rating in a research report on Thursday, September 20th. Three equities research analysts have rated the stock with a sell rating, twelve have assigned a hold rating and twenty-three have assigned a buy rating to the company. Nike presently has a consensus rating of “Buy” and an average price target of $83.14.

The company has a current ratio of 2.14, a quick ratio of 1.40 and a debt-to-equity ratio of 0.40. The firm has a market capitalization of $121.63 billion, a P/E ratio of 31.40, a PEG ratio of 2.37 and a beta of 0.69.

Nike (NYSE:NKE) last posted its quarterly earnings results on Thursday, December 20th. The footwear maker reported $0.52 EPS for the quarter, topping the Zacks’ consensus estimate of $0.46 by $0.06. The firm had revenue of $9.37 billion for the quarter, compared to analysts’ expectations of $9.17 billion. Nike had a net margin of 5.66% and a return on equity of 44.85%. The business’s revenue for the quarter was up 9.6% on a year-over-year basis. During the same period in the prior year, the business posted $0.46 earnings per share. As a group, equities analysts forecast that Nike Inc will post 2.62 EPS for the current fiscal year.

The firm also recently announced a quarterly dividend, which was paid on Wednesday, January 2nd. Shareholders of record on Monday, December 3rd were issued a dividend of $0.22 per share. This represents a $0.88 annualized dividend and a yield of 1.16%. This is a boost from Nike’s previous quarterly dividend of $0.20. The ex-dividend date of this dividend was Friday, November 30th. Nike’s dividend payout ratio is presently 36.36%.

In related news, Chairman Mark G. Parker sold 150,000 shares of the stock in a transaction that occurred on Wednesday, January 2nd. The shares were sold at an average price of $73.68, for a total value of $11,052,000.00. Following the completion of the transaction, the chairman now directly owns 1,687,863 shares of the company’s stock, valued at approximately $124,361,745.84. The sale was disclosed in a legal filing with the Securities & Exchange Commission, which is accessible through the SEC website. Also, EVP John F. Slusher sold 200,000 shares of the stock in a transaction that occurred on Wednesday, January 2nd. The shares were sold at an average price of $74.05, for a total transaction of $14,810,000.00. Following the completion of the transaction, the executive vice president now directly owns 284,805 shares of the company’s stock, valued at $21,089,810.25. The disclosure for this sale can be found here. Corporate insiders own 3.90% of the company’s stock.

Several institutional investors have recently made changes to their positions in the stock. First Hawaiian Bank raised its position in shares of Nike by 71.3% in the 4th quarter. First Hawaiian Bank now owns 32,143 shares of the footwear maker’s stock valued at $2,383,000 after purchasing an additional 13,380 shares during the last quarter. Arlington Partners LLC raised its position in Nike by 2.7% during the 4th quarter. Arlington Partners LLC now owns 13,070 shares of the footwear maker’s stock worth $969,000 after buying an additional 340 shares during the last quarter. Atalanta Sosnoff Capital LLC purchased a new position in Nike during the 4th quarter worth approximately $30,955,000. Highwater Wealth Management LLC purchased a new position in Nike during the 4th quarter worth approximately $116,000. Finally, CENTRAL TRUST Co raised its position in Nike by 2.2% during the 4th quarter. CENTRAL TRUST Co now owns 43,447 shares of the footwear maker’s stock worth $3,222,000 after buying an additional 917 shares during the last quarter. 63.99% of the stock is owned by hedge funds and other institutional investors.

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Nike Company Profile (NYSE:NKE)

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: running, NIKE basketball, the Jordan brand, football, training, and sportswear. It also markets products designed for kids, as well as for other athletic and recreational uses, such as American football, baseball, cricket, lacrosse, skateboarding, tennis, volleyball, wrestling, walking, and outdoor activities; and apparel with licensed college and professional team and league logos, as well as sells sports apparel.

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