We use cookies to understand how you use our site and to improve your experience. This includes personalizing content and advertising. To learn more, click here. By continuing to use our site, you accept our use of cookies, revised Privacy Policy and Terms of Service.
You are being directed to ZacksTrade, a division of LBMZ Securities and licensed broker-dealer. ZacksTrade and Zacks.com are separate companies. The web link between the two companies is not a solicitation or offer to invest in a particular security or type of security. ZacksTrade does not endorse or adopt any particular investment strategy, any analyst opinion/rating/report or any approach to evaluating individual securities.
If you wish to go to ZacksTrade, click OK. If you do not, click Cancel.
Nike (NKE) Stock Moves -0.91%: What You Should Know
Read MoreHide Full Article
Nike (NKE - Free Report) closed at $126.37 in the latest trading session, marking a -0.91% move from the prior day. This change was narrower than the S&P 500's 1.3% loss on the day. At the same time, the Dow lost 0.77%, and the tech-heavy Nasdaq lost 5.51%.
Coming into today, shares of the athletic apparel maker had gained 8.99% in the past month. In that same time, the Consumer Discretionary sector gained 15.99%, while the S&P 500 gained 6.41%.
Nike will be looking to display strength as it nears its next earnings release. The company is expected to report EPS of $0.51, down 41.38% from the prior-year quarter. Meanwhile, our latest consensus estimate is calling for revenue of $11.36 billion, up 4.51% from the prior-year quarter.
For the full year, our Zacks Consensus Estimates are projecting earnings of $3.11 per share and revenue of $49.89 billion, which would represent changes of -17.07% and +6.81%, respectively, from the prior year.
Investors should also note any recent changes to analyst estimates for Nike. Recent revisions tend to reflect the latest near-term business trends. With this in mind, we can consider positive estimate revisions a sign of optimism about the company's business outlook.
Research indicates that these estimate revisions are directly correlated with near-term share price momentum. We developed the Zacks Rank to capitalize on this phenomenon. Our system takes these estimate changes into account and delivers a clear, actionable rating model.
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. The Zacks Consensus EPS estimate remained stagnant within the past month. Nike is currently a Zacks Rank #2 (Buy).
Looking at its valuation, Nike is holding a Forward P/E ratio of 41.01. Its industry sports an average Forward P/E of 15.65, so we one might conclude that Nike is trading at a premium comparatively.
Investors should also note that NKE has a PEG ratio of 4.28 right now. The PEG ratio is similar to the widely-used P/E ratio, but this metric also takes the company's expected earnings growth rate into account. Shoes and Retail Apparel stocks are, on average, holding a PEG ratio of 4.28 based on yesterday's closing prices.
The Shoes and Retail Apparel industry is part of the Consumer Discretionary sector. This industry currently has a Zacks Industry Rank of 158, which puts it in the bottom 38% of all 250+ industries.
The Zacks Industry Rank includes is listed in order from best to worst in terms of the average Zacks Rank of the individual companies within each of these sectors. 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.
See More Zacks Research for These Tickers
Normally $25 each - click below to receive one report FREE:
Image: Bigstock
Nike (NKE) Stock Moves -0.91%: What You Should Know
Nike (NKE - Free Report) closed at $126.37 in the latest trading session, marking a -0.91% move from the prior day. This change was narrower than the S&P 500's 1.3% loss on the day. At the same time, the Dow lost 0.77%, and the tech-heavy Nasdaq lost 5.51%.
Coming into today, shares of the athletic apparel maker had gained 8.99% in the past month. In that same time, the Consumer Discretionary sector gained 15.99%, while the S&P 500 gained 6.41%.
Nike will be looking to display strength as it nears its next earnings release. The company is expected to report EPS of $0.51, down 41.38% from the prior-year quarter. Meanwhile, our latest consensus estimate is calling for revenue of $11.36 billion, up 4.51% from the prior-year quarter.
For the full year, our Zacks Consensus Estimates are projecting earnings of $3.11 per share and revenue of $49.89 billion, which would represent changes of -17.07% and +6.81%, respectively, from the prior year.
Investors should also note any recent changes to analyst estimates for Nike. Recent revisions tend to reflect the latest near-term business trends. With this in mind, we can consider positive estimate revisions a sign of optimism about the company's business outlook.
Research indicates that these estimate revisions are directly correlated with near-term share price momentum. We developed the Zacks Rank to capitalize on this phenomenon. Our system takes these estimate changes into account and delivers a clear, actionable rating model.
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. The Zacks Consensus EPS estimate remained stagnant within the past month. Nike is currently a Zacks Rank #2 (Buy).
Looking at its valuation, Nike is holding a Forward P/E ratio of 41.01. Its industry sports an average Forward P/E of 15.65, so we one might conclude that Nike is trading at a premium comparatively.
Investors should also note that NKE has a PEG ratio of 4.28 right now. The PEG ratio is similar to the widely-used P/E ratio, but this metric also takes the company's expected earnings growth rate into account. Shoes and Retail Apparel stocks are, on average, holding a PEG ratio of 4.28 based on yesterday's closing prices.
The Shoes and Retail Apparel industry is part of the Consumer Discretionary sector. This industry currently has a Zacks Industry Rank of 158, which puts it in the bottom 38% of all 250+ industries.
The Zacks Industry Rank includes is listed in order from best to worst in terms of the average Zacks Rank of the individual companies within each of these sectors. 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.