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Nike (NKE) Dips More Than Broader Markets: What You Should Know
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In the latest trading session, Nike (NKE - Free Report) closed at $105.05, marking a -1.39% move from the previous day. This move lagged the S&P 500's daily loss of 0.77%. Elsewhere, the Dow lost 0.84%, while the tech-heavy Nasdaq lost 1.17%.
Coming into today, shares of the athletic apparel maker had lost 3.05% in the past month. In that same time, the Consumer Discretionary sector lost 1.63%, while the S&P 500 lost 2.13%.
Nike will be looking to display strength as it nears its next earnings release. In that report, analysts expect Nike to post earnings of $0.73 per share. This would mark a year-over-year decline of 21.51%. Meanwhile, the Zacks Consensus Estimate for revenue is projecting net sales of $12.98 billion, up 2.29% from the year-ago period.
For the full year, our Zacks Consensus Estimates are projecting earnings of $3.72 per share and revenue of $53.69 billion, which would represent changes of +15.17% and +4.83%, respectively, from the prior year.
It is also important to note the recent changes to analyst estimates for Nike. These recent revisions tend to reflect the evolving nature of short-term business trends. As a result, we can interpret positive estimate revisions as a good sign for the company's business outlook.
Research indicates that these estimate revisions are directly correlated with near-term share price momentum. 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.
The Zacks Rank system ranges from #1 (Strong Buy) to #5 (Strong Sell). It has a remarkable, outside-audited track record of success, with #1 stocks delivering an average annual return of +25% since 1988. Over the past month, the Zacks Consensus EPS estimate has moved 0.02% lower. Nike is holding a Zacks Rank of #3 (Hold) right now.
Investors should also note Nike's current valuation metrics, including its Forward P/E ratio of 28.64. This represents a premium compared to its industry's average Forward P/E of 12.84.
We can also see that NKE currently has a PEG ratio of 1.88. 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 1.4 based on yesterday's closing prices.
The Shoes and Retail Apparel industry is part of the Consumer Discretionary sector. This group has a Zacks Industry Rank of 105, putting it in the top 42% 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.
Make sure to utilize Zacks.com to follow all of these stock-moving metrics, and more, in the coming trading sessions.
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Nike (NKE) Dips More Than Broader Markets: What You Should Know
In the latest trading session, Nike (NKE - Free Report) closed at $105.05, marking a -1.39% move from the previous day. This move lagged the S&P 500's daily loss of 0.77%. Elsewhere, the Dow lost 0.84%, while the tech-heavy Nasdaq lost 1.17%.
Coming into today, shares of the athletic apparel maker had lost 3.05% in the past month. In that same time, the Consumer Discretionary sector lost 1.63%, while the S&P 500 lost 2.13%.
Nike will be looking to display strength as it nears its next earnings release. In that report, analysts expect Nike to post earnings of $0.73 per share. This would mark a year-over-year decline of 21.51%. Meanwhile, the Zacks Consensus Estimate for revenue is projecting net sales of $12.98 billion, up 2.29% from the year-ago period.
For the full year, our Zacks Consensus Estimates are projecting earnings of $3.72 per share and revenue of $53.69 billion, which would represent changes of +15.17% and +4.83%, respectively, from the prior year.
It is also important to note the recent changes to analyst estimates for Nike. These recent revisions tend to reflect the evolving nature of short-term business trends. As a result, we can interpret positive estimate revisions as a good sign for the company's business outlook.
Research indicates that these estimate revisions are directly correlated with near-term share price momentum. 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.
The Zacks Rank system ranges from #1 (Strong Buy) to #5 (Strong Sell). It has a remarkable, outside-audited track record of success, with #1 stocks delivering an average annual return of +25% since 1988. Over the past month, the Zacks Consensus EPS estimate has moved 0.02% lower. Nike is holding a Zacks Rank of #3 (Hold) right now.
Investors should also note Nike's current valuation metrics, including its Forward P/E ratio of 28.64. This represents a premium compared to its industry's average Forward P/E of 12.84.
We can also see that NKE currently has a PEG ratio of 1.88. 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 1.4 based on yesterday's closing prices.
The Shoes and Retail Apparel industry is part of the Consumer Discretionary sector. This group has a Zacks Industry Rank of 105, putting it in the top 42% 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.
Make sure to utilize Zacks.com to follow all of these stock-moving metrics, and more, in the coming trading sessions.