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Nike (NKE) Outperforms Broader Market: What You Need to Know
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The most recent trading session ended with Nike (NKE - Free Report) standing at $102.77, reflecting a +0.95% shift from the previouse trading day's closing. The stock's change was more than the S&P 500's daily gain of 0.65%. Elsewhere, the Dow saw an upswing of 0.38%, while the tech-heavy Nasdaq appreciated by 0.48%.
Shares of the athletic apparel maker have appreciated by 7.66% over the course of the past month, outperforming the Consumer Discretionary sector's loss of 3.67% and the S&P 500's loss of 2.79%.
Market participants will be closely following the financial results of Nike in its upcoming release. The company is predicted to post an EPS of $0.85, indicating constancy compared to the equivalent quarter last year. Meanwhile, our latest consensus estimate is calling for revenue of $13.41 billion, up 0.72% from the prior-year quarter.
For the entire fiscal year, the Zacks Consensus Estimates are projecting earnings of $3.74 per share and a revenue of $53.14 billion, representing changes of +15.79% and +3.75%, respectively, from the prior year.
Investors might also notice recent changes to analyst estimates for Nike. These revisions typically reflect the latest short-term business trends, which can change frequently. Therefore, positive revisions in estimates convey analysts' confidence in the company's business performance and profit potential.
Our research shows that these estimate changes are directly correlated with near-term stock prices. 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.
The Zacks Rank system, which ranges from #1 (Strong Buy) to #5 (Strong Sell), has an impressive outside-audited track record of outperformance, with #1 stocks generating an average annual return of +25% since 1988. Over the past month, the Zacks Consensus EPS estimate has moved 0.51% higher. At present, Nike boasts a Zacks Rank of #3 (Hold).
Looking at valuation, Nike is presently trading at a Forward P/E ratio of 27.19. Its industry sports an average Forward P/E of 14.03, so one might conclude that Nike is trading at a premium comparatively.
Investors should also note that NKE has a PEG ratio of 1.69 right now. The PEG ratio is akin to the commonly utilized P/E ratio, but this measure also incorporates the company's anticipated earnings growth rate. As of the close of trade yesterday, the Shoes and Retail Apparel industry held an average PEG ratio of 1.1.
The Shoes and Retail Apparel industry is part of the Consumer Discretionary sector. This group has a Zacks Industry Rank of 59, putting it in the top 24% 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.
To follow NKE in the coming trading sessions, be sure to utilize Zacks.com.
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Nike (NKE) Outperforms Broader Market: What You Need to Know
The most recent trading session ended with Nike (NKE - Free Report) standing at $102.77, reflecting a +0.95% shift from the previouse trading day's closing. The stock's change was more than the S&P 500's daily gain of 0.65%. Elsewhere, the Dow saw an upswing of 0.38%, while the tech-heavy Nasdaq appreciated by 0.48%.
Shares of the athletic apparel maker have appreciated by 7.66% over the course of the past month, outperforming the Consumer Discretionary sector's loss of 3.67% and the S&P 500's loss of 2.79%.
Market participants will be closely following the financial results of Nike in its upcoming release. The company is predicted to post an EPS of $0.85, indicating constancy compared to the equivalent quarter last year. Meanwhile, our latest consensus estimate is calling for revenue of $13.41 billion, up 0.72% from the prior-year quarter.
For the entire fiscal year, the Zacks Consensus Estimates are projecting earnings of $3.74 per share and a revenue of $53.14 billion, representing changes of +15.79% and +3.75%, respectively, from the prior year.
Investors might also notice recent changes to analyst estimates for Nike. These revisions typically reflect the latest short-term business trends, which can change frequently. Therefore, positive revisions in estimates convey analysts' confidence in the company's business performance and profit potential.
Our research shows that these estimate changes are directly correlated with near-term stock prices. 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.
The Zacks Rank system, which ranges from #1 (Strong Buy) to #5 (Strong Sell), has an impressive outside-audited track record of outperformance, with #1 stocks generating an average annual return of +25% since 1988. Over the past month, the Zacks Consensus EPS estimate has moved 0.51% higher. At present, Nike boasts a Zacks Rank of #3 (Hold).
Looking at valuation, Nike is presently trading at a Forward P/E ratio of 27.19. Its industry sports an average Forward P/E of 14.03, so one might conclude that Nike is trading at a premium comparatively.
Investors should also note that NKE has a PEG ratio of 1.69 right now. The PEG ratio is akin to the commonly utilized P/E ratio, but this measure also incorporates the company's anticipated earnings growth rate. As of the close of trade yesterday, the Shoes and Retail Apparel industry held an average PEG ratio of 1.1.
The Shoes and Retail Apparel industry is part of the Consumer Discretionary sector. This group has a Zacks Industry Rank of 59, putting it in the top 24% 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.
To follow NKE in the coming trading sessions, be sure to utilize Zacks.com.