Nike (NKE - Free Report) closed the most recent trading day at $100.54, moving -0.83% from the previous trading session. This change lagged the S&P 500's 1.13% gain on the day. Meanwhile, the Dow gained 1.68%, and the Nasdaq, a tech-heavy index, added 0.43%.
Heading into today, shares of the athletic apparel maker had lost 0.39% over the past month, lagging the Consumer Discretionary sector's loss of 0.11% and the S&P 500's gain of 2.1% in that time.
Wall Street will be looking for positivity from NKE as it approaches its next earnings report date. On that day, NKE is projected to report earnings of $0.69 per share, which would represent year-over-year growth of 1.47%. Meanwhile, our latest consensus estimate is calling for revenue of $10.33 billion, up 7.53% from the prior-year quarter.
Looking at the full year, our Zacks Consensus Estimates suggest analysts are expecting earnings of $3.01 per share and revenue of $42.39 billion. These totals would mark changes of +20.88% and +8.36%, respectively, from last 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. With this in mind, we can consider positive estimate revisions a sign of optimism about the company's business outlook.
Based on our research, we believe these estimate revisions are directly related to near-team stock moves. Investors can capitalize on this by using the Zacks Rank. This model considers these estimate changes and provides a simple, actionable rating system.
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. Within the past 30 days, our consensus EPS projection remained stagnant. NKE is currently a Zacks Rank #2 (Buy).
Investors should also note NKE's current valuation metrics, including its Forward P/E ratio of 33.65. Its industry sports an average Forward P/E of 15.56, so we one might conclude that NKE is trading at a premium comparatively.
We can also see that NKE currently has a PEG ratio of 2.42. This popular metric is similar to the widely-known P/E ratio, with the difference being that the PEG ratio also takes into account the company's expected earnings growth rate. The Shoes and Retail Apparel industry currently had an average PEG ratio of 2.02 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 69, which puts it in the top 28% of all 250+ industries.
The Zacks Industry Rank gauges the strength of our 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.