Nike (NKE) Posts Quarterly Earnings Results, Beats Estimates By $0.04 EPS

Nike (NYSE:NKE) posted its quarterly earnings data on Tuesday. The footwear maker reported $0.67 earnings per share (EPS) for the quarter, topping the consensus estimate of $0.63 by $0.04, RTT News reports. Nike had a net margin of 5.31% and a return on equity of 36.57%. The company had revenue of $9.95 billion for the quarter, compared to the consensus estimate of $9.92 billion. During the same quarter in the previous year, the firm posted $0.57 EPS. The business’s revenue was up 9.7% compared to the same quarter last year.

NYSE:NKE traded up $0.52 on Tuesday, reaching $84.79. The stock had a trading volume of 9,971,307 shares, compared to its average volume of 7,130,425. The firm has a market cap of $136.93 billion, a PE ratio of 34.86, a price-to-earnings-growth ratio of 2.85 and a beta of 0.70. Nike has a 1-year low of $50.35 and a 1-year high of $86.04. The company has a quick ratio of 1.63, a current ratio of 2.51 and a debt-to-equity ratio of 0.35.

The company also recently declared a quarterly dividend, which will be paid on Monday, October 1st. Shareholders of record on Tuesday, September 4th will be given a $0.20 dividend. The ex-dividend date is Friday, August 31st. This represents a $0.80 dividend on an annualized basis and a yield of 0.94%. Nike’s dividend payout ratio (DPR) is presently 33.06%.

NKE has been the topic of several research reports. HSBC set a $92.00 price objective on shares of Nike and gave the stock a “buy” rating in a report on Thursday, September 6th. Pivotal Research set a $85.00 target price on shares of Nike and gave the company a “hold” rating in a research note on Friday. Morgan Stanley started coverage on shares of Nike in a research note on Wednesday, August 1st. They issued an “overweight” rating and a $88.00 target price on the stock. Jefferies Financial Group reissued a “neutral” rating and issued a $68.00 target price on shares of Nike in a research note on Wednesday, June 13th. Finally, Credit Suisse Group reissued a “buy” rating and issued a $78.00 target price on shares of Nike in a research note on Thursday, June 14th. Two equities research analysts have rated the stock with a sell rating, twelve have issued a hold rating and twenty-seven have issued a buy rating to the stock. The stock presently has an average rating of “Buy” and an average target price of $82.82.

Nike declared that its board has approved a share buyback plan on Thursday, June 28th that permits the company to repurchase $15.00 billion in outstanding shares. This repurchase authorization permits the footwear maker to purchase up to 12.9% of its stock through open market purchases. Stock repurchase plans are typically an indication that the company’s leadership believes its shares are undervalued.

In other news, Director Johnathan A. Rodgers sold 16,000 shares of the company’s stock in a transaction that occurred on Wednesday, September 19th. The shares were sold at an average price of $85.05, for a total transaction of $1,360,800.00. Following the transaction, the director now directly owns 26,963 shares in the company, valued at $2,293,203.15. The sale was disclosed in a document filed with the Securities & Exchange Commission, which is available through the SEC website. Also, EVP Monique S. Matheson sold 17,000 shares of the company’s stock in a transaction that occurred on Tuesday, September 18th. The stock was sold at an average price of $85.00, for a total transaction of $1,445,000.00. Following the transaction, the executive vice president now owns 104,737 shares in the company, valued at $8,902,645. The disclosure for this sale can be found here. Over the last 90 days, insiders sold 365,778 shares of company stock worth $29,131,176. Company insiders own 3.90% of the company’s stock.

About Nike

NIKE, Inc, together with its subsidiaries, designs, develops, markets, and sells athletic footwear, apparel, equipment, and accessories worldwide. The company offers NIKE brand products in six categories: running, NIKE basketball, the Jordan brand, football, training, and sportswear. It also markets products designed for kids, as well as for other athletic and recreational uses, such as American football, baseball, cricket, lacrosse, skateboarding, tennis, volleyball, wrestling, walking, and outdoor activities; and apparel with licensed college and professional team and league logos, as well as sells sports apparel.

Further Reading: Fundamental Analysis and Choosing Stocks

Earnings History for Nike (NYSE:NKE)

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