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Nike (NKE) Gains As Market Dips: What You Should Know
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In the latest trading session, Nike (NKE - Free Report) closed at $72.19, marking a +0.17% move from the previous day. This move outpaced the S&P 500's daily loss of 0.66%. Meanwhile, the Dow lost 0.99%, and the Nasdaq, a tech-heavy index, lost 1.63%.
Prior to today's trading, shares of the athletic apparel maker had lost 14.75% over the past month. This has lagged the Consumer Discretionary sector's loss of 10.89% and the S&P 500's loss of 8.1% in that time.
Investors will be hoping for strength from NKE as it approaches its next earnings release, which is expected to be December 20, 2018. The company is expected to report EPS of $0.45, down 2.17% from the prior-year quarter. Meanwhile, our latest consensus estimate is calling for revenue of $9.14 billion, up 6.9% from the prior-year quarter.
For the full year, our Zacks Consensus Estimates are projecting earnings of $2.62 per share and revenue of $39.05 billion, which would represent changes of +8.26% and +7.29%, respectively, from the prior year.
Investors might also notice recent changes to analyst estimates for NKE. These revisions help to show the ever-changing nature of near-term business trends. As such, positive estimate revisions reflect analyst optimism about the company's business and profitability.
Based on our research, we believe these estimate revisions are directly related to near-team stock moves. 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 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. The Zacks Consensus EPS estimate remained stagnant within the past month. NKE is currently a Zacks Rank #3 (Hold).
Valuation is also important, so investors should note that NKE has a Forward P/E ratio of 27.46 right now. This represents a premium compared to its industry's average Forward P/E of 15.51.
It is also worth noting that NKE currently has a PEG ratio of 2.25. 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. The Shoes and Retail Apparel industry currently 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 group has a Zacks Industry Rank of 47, putting it in the top 18% 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) Gains As Market Dips: What You Should Know
In the latest trading session, Nike (NKE - Free Report) closed at $72.19, marking a +0.17% move from the previous day. This move outpaced the S&P 500's daily loss of 0.66%. Meanwhile, the Dow lost 0.99%, and the Nasdaq, a tech-heavy index, lost 1.63%.
Prior to today's trading, shares of the athletic apparel maker had lost 14.75% over the past month. This has lagged the Consumer Discretionary sector's loss of 10.89% and the S&P 500's loss of 8.1% in that time.
Investors will be hoping for strength from NKE as it approaches its next earnings release, which is expected to be December 20, 2018. The company is expected to report EPS of $0.45, down 2.17% from the prior-year quarter. Meanwhile, our latest consensus estimate is calling for revenue of $9.14 billion, up 6.9% from the prior-year quarter.
For the full year, our Zacks Consensus Estimates are projecting earnings of $2.62 per share and revenue of $39.05 billion, which would represent changes of +8.26% and +7.29%, respectively, from the prior year.
Investors might also notice recent changes to analyst estimates for NKE. These revisions help to show the ever-changing nature of near-term business trends. As such, positive estimate revisions reflect analyst optimism about the company's business and profitability.
Based on our research, we believe these estimate revisions are directly related to near-team stock moves. 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 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. The Zacks Consensus EPS estimate remained stagnant within the past month. NKE is currently a Zacks Rank #3 (Hold).
Valuation is also important, so investors should note that NKE has a Forward P/E ratio of 27.46 right now. This represents a premium compared to its industry's average Forward P/E of 15.51.
It is also worth noting that NKE currently has a PEG ratio of 2.25. 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. The Shoes and Retail Apparel industry currently 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 group has a Zacks Industry Rank of 47, putting it in the top 18% 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.