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Nike (NKE) Dips More Than Broader Markets: What You Should Know
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Nike (NKE - Free Report) closed at $83.95 in the latest trading session, marking a -1.05% move from the prior day. This change lagged the S&P 500's daily loss of 0.35%. Meanwhile, the Dow lost 0.4%, and the Nasdaq, a tech-heavy index, lost 0.39%.
Heading into today, shares of the athletic apparel maker had gained 5.39% over the past month, outpacing the Consumer Discretionary sector's gain of 5.19% and the S&P 500's gain of 4.48% in that time.
Investors will be hoping for strength from NKE as it approaches its next earnings release. In that report, analysts expect NKE to post earnings of $0.63 per share. This would mark a year-over-year decline of 7.35%. Meanwhile, our latest consensus estimate is calling for revenue of $9.50 billion, up 5.7% from the prior-year quarter.
NKE's full-year Zacks Consensus Estimates are calling for earnings of $2.63 per share and revenue of $39.12 billion. These results would represent year-over-year changes of +8.68% and +7.48%, respectively.
It is also important to note the recent changes to analyst estimates for NKE. These revisions typically reflect the latest short-term business trends, which can change frequently. As a result, we can interpret positive estimate revisions as a good sign for the company's business outlook.
Our research shows that these estimate changes are directly correlated with near-term stock prices. To benefit from this, we have developed the Zacks Rank, a proprietary model which takes these estimate changes into account and provides an actionable rating system.
Ranging from #1 (Strong Buy) to #5 (Strong Sell), the Zacks Rank system has a proven, outside-audited track record of outperformance, with #1 stocks returning an average of +25% annually since 1988. Within the past 30 days, our consensus EPS projection has moved 0.19% higher. NKE currently has a Zacks Rank of #2 (Buy).
Digging into valuation, NKE currently has a Forward P/E ratio of 32.28. For comparison, its industry has an average Forward P/E of 15.77, which means NKE is trading at a premium to the group.
We can also see that NKE currently has a PEG ratio of 2.62. This metric is used similarly to the famous P/E ratio, but the PEG ratio also takes into account the stock's expected earnings growth rate. NKE's industry had an average PEG ratio of 1.52 as of yesterday's close.
The Shoes and Retail Apparel industry is part of the Consumer Discretionary sector. This industry currently has a Zacks Industry Rank of 34, which puts it in the top 14% of all 250+ industries.
The Zacks Industry Rank gauges the strength of our individual industry groups by measuring the average Zacks Rank of the individual stocks within the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
You can find more information on all of these metrics, and much more, on Zacks.com.
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Nike (NKE) Dips More Than Broader Markets: What You Should Know
Nike (NKE - Free Report) closed at $83.95 in the latest trading session, marking a -1.05% move from the prior day. This change lagged the S&P 500's daily loss of 0.35%. Meanwhile, the Dow lost 0.4%, and the Nasdaq, a tech-heavy index, lost 0.39%.
Heading into today, shares of the athletic apparel maker had gained 5.39% over the past month, outpacing the Consumer Discretionary sector's gain of 5.19% and the S&P 500's gain of 4.48% in that time.
Investors will be hoping for strength from NKE as it approaches its next earnings release. In that report, analysts expect NKE to post earnings of $0.63 per share. This would mark a year-over-year decline of 7.35%. Meanwhile, our latest consensus estimate is calling for revenue of $9.50 billion, up 5.7% from the prior-year quarter.
NKE's full-year Zacks Consensus Estimates are calling for earnings of $2.63 per share and revenue of $39.12 billion. These results would represent year-over-year changes of +8.68% and +7.48%, respectively.
It is also important to note the recent changes to analyst estimates for NKE. These revisions typically reflect the latest short-term business trends, which can change frequently. As a result, we can interpret positive estimate revisions as a good sign for the company's business outlook.
Our research shows that these estimate changes are directly correlated with near-term stock prices. To benefit from this, we have developed the Zacks Rank, a proprietary model which takes these estimate changes into account and provides an actionable rating system.
Ranging from #1 (Strong Buy) to #5 (Strong Sell), the Zacks Rank system has a proven, outside-audited track record of outperformance, with #1 stocks returning an average of +25% annually since 1988. Within the past 30 days, our consensus EPS projection has moved 0.19% higher. NKE currently has a Zacks Rank of #2 (Buy).
Digging into valuation, NKE currently has a Forward P/E ratio of 32.28. For comparison, its industry has an average Forward P/E of 15.77, which means NKE is trading at a premium to the group.
We can also see that NKE currently has a PEG ratio of 2.62. This metric is used similarly to the famous P/E ratio, but the PEG ratio also takes into account the stock's expected earnings growth rate. NKE's industry had an average PEG ratio of 1.52 as of yesterday's close.
The Shoes and Retail Apparel industry is part of the Consumer Discretionary sector. This industry currently has a Zacks Industry Rank of 34, which puts it in the top 14% of all 250+ industries.
The Zacks Industry Rank gauges the strength of our individual industry groups by measuring the average Zacks Rank of the individual stocks within the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
You can find more information on all of these metrics, and much more, on Zacks.com.