NIKE (NYSE:NKE) Downgraded by Williams Trading to Hold

NIKE (NYSE:NKE) was downgraded by investment analysts at Williams Trading from a “strong-buy” rating to a “hold” rating in a report released on Friday, Zacks reports.

NKE has been the topic of a number of other research reports. Argus raised shares of NIKE to a “strong-buy” rating in a research report on Wednesday, July 15th. Rothschild & Co Redburn decreased their target price on shares of NIKE from $45.00 to $37.00 and set a “sell” rating for the company in a research report on Friday, July 17th. JPMorgan Chase & Co. lowered their target price on shares of NIKE from $40.00 to $33.00 and set an “underweight” rating for the company in a research note on Friday. Royal Bank Of Canada cut their price target on shares of NIKE from $45.00 to $40.00 and set a “sector perform” rating on the stock in a report on Tuesday. Finally, Telsey Advisory Group set a $35.00 price target on NIKE and gave the stock a “market perform” rating in a research report on Friday. One analyst has rated the stock with a Strong Buy rating, eight have given a Buy rating, twenty-two have assigned a Hold rating and eight have given a Sell rating to the stock. According to MarketBeat.com, NIKE currently has a consensus rating of “Hold” and a consensus target price of $42.12.

NIKE Price Performance

Shares of NKE stock opened at $33.88 on Friday. The stock’s 50-day moving average is $38.88 and its 200 day moving average is $42.88. NIKE has a 1-year low of $31.97 and a 1-year high of $74.78. The company has a debt-to-equity ratio of 0.40, a current ratio of 1.96 and a quick ratio of 1.36. The company has a market cap of $50.27 billion, a P/E ratio of 16.29, a PEG ratio of 2.42 and a beta of 1.09.

NIKE (NYSE:NKE) last announced its earnings results on Thursday, October 1st. The footwear maker reported $0.48 EPS for the quarter, topping analysts’ consensus estimates of $0.43 by $0.05. The business had revenue of $11.21 billion during the quarter, compared to the consensus estimate of $11.32 billion. NIKE had a net margin of 6.74% and a return on equity of 16.18%. The firm’s revenue was down 4.3% on a year-over-year basis. During the same period in the previous year, the company posted $0.49 earnings per share. NIKE has set its FY 2027 guidance at 1.150-1.350 EPS. Research analysts predict that NIKE will post 1.61 earnings per share for the current fiscal year.

Insider Activity at NIKE

In other NIKE news, EVP Philip McCartney sold 2,559 shares of the firm’s stock in a transaction on Wednesday, September 9th. The shares were sold at an average price of $37.59, for a total value of $96,192.81. Following the completion of the transaction, the executive vice president owned 78,121 shares of the company’s stock, valued at approximately $2,936,568.39. This trade represents a 3.17% decrease in their ownership of the stock. The transaction was disclosed in a filing with the SEC, which is accessible through the SEC website. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, insider Amy Montagne sold 4,867 shares of NIKE stock in a transaction on Friday, August 7th. The stock was sold at an average price of $42.05, for a total transaction of $204,657.35. Following the sale, the insider owned 57,436 shares of the company’s stock, valued at $2,415,183.80. The trade was a 7.81% decrease in their ownership of the stock. The disclosure for this sale is available in the SEC filing. In the last three months, insiders sold 14,974 shares of company stock worth $600,126. Corporate insiders own 1.10% of the company’s stock.

Hedge Funds Weigh In On NIKE

A number of hedge funds and other institutional investors have recently added to or reduced their stakes in NKE. Confluence Investment Management LLC raised its position in NIKE by 873.8% during the 3rd quarter. Confluence Investment Management LLC now owns 2,720,616 shares of the footwear maker’s stock worth $96,310,000 after buying an additional 2,441,233 shares during the last quarter. QRG Capital Management Inc. boosted its holdings in shares of NIKE by 8.5% in the 2nd quarter. QRG Capital Management Inc. now owns 106,883 shares of the footwear maker’s stock valued at $4,388,000 after acquiring an additional 8,338 shares during the last quarter. Envestnet Portfolio Solutions Inc. increased its stake in shares of NIKE by 214.0% in the second quarter. Envestnet Portfolio Solutions Inc. now owns 32,596 shares of the footwear maker’s stock worth $1,338,000 after acquiring an additional 22,215 shares during the period. Envestnet Asset Management Inc. increased its stake in shares of NIKE by 98.4% in the second quarter. Envestnet Asset Management Inc. now owns 2,202,581 shares of the footwear maker’s stock worth $90,416,000 after acquiring an additional 1,092,282 shares during the period. Finally, State Street Corp raised its holdings in shares of NIKE by 6.8% during the second quarter. State Street Corp now owns 63,598,789 shares of the footwear maker’s stock worth $2,636,104,000 after purchasing an additional 4,052,428 shares during the last quarter. Hedge funds and other institutional investors own 64.25% of the company’s stock.

NIKE News Roundup

Here are the key news stories impacting NIKE this week:

• Positive Sentiment: NIKE reported fiscal Q1 EPS of $0.48, above the $0.43 analyst consensus. The company also retains a strong balance sheet, with approximately $8.4 billion in cash and short-term investments, while its dividend yield is approaching 5%. NIKE Posts Earnings Results
• Positive Sentiment: Some analysts see the selloff as an opportunity. Freedom Broker upgraded NKE from “sell” to “buy” with a $51 price target, while BTIG maintained a “buy” rating with a $50 target. Bernstein called the stock “de-risked” following the earnings release. Bernstein says Nike stock is de-risked
• Neutral Sentiment: NIKE is launching the Pace restructuring program, targeting approximately $2.5 billion in savings. Management said the plan is intended to simplify operations and support performance categories, but implementation will include further job cuts likely extending into 2027. NIKE fiscal 2027 first-quarter results
• Neutral Sentiment: The company’s dividend appears supported by its liquidity and history of 24 consecutive years of increases, although a higher yield also reflects the stock’s substantial decline and investors’ concerns about future earnings.
• Negative Sentiment: Fiscal Q1 revenue fell 4.3% year over year to $11.21 billion, below the $11.32 billion consensus estimate. Weakness in Greater China, Sportswear and Jordan continued to weigh on sales, while competition and changing consumer preferences are pressuring the brand. Nike plans more job cuts and forecasts revenue drop
• Negative Sentiment: Management expects fiscal 2027 revenue to decline by a high-single-digit percentage and provided EPS guidance of $1.15–$1.35, well below the roughly $1.66 analyst consensus. The outlook suggests Nike’s turnaround may take longer and be more costly than investors expected. Nike shares fall after weak outlook and layoffs
• Negative Sentiment: Several firms reduced price targets, including Citi to $32 and JPMorgan to $33, with neutral or underweight ratings. Zacks also placed NKE on its Strong Sell list, reinforcing concerns about margin pressure, China weakness and delayed recovery.

NIKE Company Profile

NIKE, Inc is a global sportswear company that designs, develops, markets and sells athletic footwear, apparel, equipment, accessories and related services. Its products are marketed under the NIKE, Jordan and Converse brands and are used across a broad range of sports and lifestyle activities, including running, basketball, football, training and outdoor pursuits.

The company distributes its products through a combination of wholesale partners, NIKE-owned retail stores and digital platforms.