NIKE (NYSE:NKE) Issues Quarterly Earnings Results, Beats Expectations By $0.09 EPS

NIKE (NYSE:NKE) released its quarterly earnings data on Tuesday. The footwear maker reported $0.20 earnings per share (EPS) for the quarter, topping analysts’ consensus estimates of $0.11 by $0.09, Zacks reports. NIKE had a return on equity of 16.41% and a net margin of 4.84%.The business had revenue of $10.97 billion for the quarter, compared to the consensus estimate of $10.85 billion. During the same quarter in the previous year, the company posted $0.14 EPS. The company’s revenue was down 1.1% compared to the same quarter last year.

Here are the key takeaways from NIKE’s conference call:

• NIKE said its performance business continued to strengthen, with running delivering five straight quarters of double-digit growth and roughly $1 billion of added business over that stretch. Management also highlighted share gains in running across Western Europe and North America.
• The company is leaning into its new Sport Offense operating model, moving about 8,000 employees into sport-focused teams and simplifying supply chain and technology to improve speed and execution. Leadership framed this as the foundation for longer-term growth rather than a near-term fix.
• Sportswear and Jordan streetwear remain weak, with sell-through still challenged and management expecting both businesses to stay negative in fiscal 2027. NIKE said these categories represent about half of revenue, making their recovery critical to a broader turnaround.
• North America showed the clearest momentum, with Q4 revenue up 3% and wholesale up 10%, while Foot Locker became positive on both revenue and retail sales for the first time in four years. Management said the region is leading the company’s comeback and that its marketplace cleanup is improving profitability.
• NIKE took a major one-time tariff recovery benefit of $986 million in Q4, which boosted reported EPS and gross margin; excluding it, gross margin was essentially flat year over year. Even so, tariffs remain a headwind, and the company is guiding for revenue down low-to-mid single digits with gross margin expansion beginning earlier in fiscal 2027.

NIKE Stock Performance

Shares of NKE stock traded up $1.31 during trading hours on Wednesday, hitting $42.36. The company’s stock had a trading volume of 47,436,200 shares, compared to its average volume of 21,014,441. The company has a current ratio of 2.14, a quick ratio of 1.45 and a debt-to-equity ratio of 0.50. The company has a 50 day moving average of $44.01 and a 200 day moving average of $53.56. NIKE has a 12-month low of $40.00 and a 12-month high of $80.17. The stock has a market cap of $62.73 billion, a PE ratio of 28.09, a price-to-earnings-growth ratio of 1.81 and a beta of 1.12.

NIKE Dividend Announcement

The firm also recently disclosed a quarterly dividend, which will be paid on Wednesday, July 1st. Shareholders of record on Monday, June 1st will be paid a dividend of $0.41 per share. This represents a $1.64 annualized dividend and a yield of 3.9%. The ex-dividend date is Monday, June 1st. NIKE’s payout ratio is presently 108.61%.

NIKE News Roundup

Here are the key news stories impacting NIKE this week:

• Positive Sentiment: NIKE posted Q4 EPS of $0.20 and revenue of $10.97 billion, both ahead of Wall Street estimates, while management also highlighted margin improvement and a more disciplined “margin-first” reset. NIKE, Inc. Reports Fiscal 2026 Fourth Quarter and Full Year Results
• Positive Sentiment: Several analysts still see upside from current levels: Jefferies kept a Buy rating, BTIG reaffirmed Buy, and Barclays maintained Overweight even after cutting its target, signaling that some firms believe the long-term recovery story remains intact. Analyst rating updates
• Neutral Sentiment: RBC and UBS reiterated Neutral ratings, while Citigroup, Goldman Sachs, Piper Sandler, Bank of America and Wells Fargo all reduced price targets, showing a broadly cautious Wall Street stance rather than a clear bullish or bearish consensus. Analyst target cuts and rating updates
• Negative Sentiment: China sales fell 12%, and multiple reports said NIKE warned that the turnaround will take longer as consumer demand and marketplace cleanup remain uneven. Nike earnings, revenue top estimates even as China sales drop 12%
• Negative Sentiment: Investors also reacted to the company’s cautious guidance and the fact that shares touched multi-year lows before and after the report, suggesting the market wants clearer proof of a sustained recovery before rerating the stock. 5 Things to Know Before the Stock Market Opens on Wednesday, July 1, 2026

Insider Activity at NIKE

In other news, EVP Philip Mccartney sold 17,398 shares of the stock in a transaction dated Friday, June 12th. The shares were sold at an average price of $46.18, for a total transaction of $803,439.64. Following the sale, the executive vice president directly owned 53,133 shares of the company’s stock, valued at $2,453,681.94. This represents a 24.67% decrease in their position. The transaction was disclosed in a legal filing with the SEC, which is available through this link. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. The sale was made to cover tax withholding obligations related to the vesting of equity awards. Also, Director John W. Rogers, Jr. purchased 4,000 shares of the business’s stock in a transaction that occurred on Thursday, April 9th. The stock was acquired at an average price of $43.34 per share, with a total value of $173,360.00. Following the purchase, the director owned 41,022 shares in the company, valued at $1,777,893.48. This represents a 10.80% increase in their ownership of the stock. The SEC filing for this purchase provides additional information. Insiders bought 64,441 shares of company stock valued at $2,734,204 in the last 90 days. 0.80% of the stock is currently owned by corporate insiders.

Hedge Funds Weigh In On NIKE

Large investors have recently added to or reduced their stakes in the stock. Main Street Financial Solutions LLC increased its stake in shares of NIKE by 4.2% during the second quarter. Main Street Financial Solutions LLC now owns 3,441 shares of the footwear maker’s stock worth $244,000 after purchasing an additional 139 shares in the last quarter. ANB Bank increased its stake in NIKE by 0.7% during the 4th quarter. ANB Bank now owns 25,451 shares of the footwear maker’s stock worth $1,621,000 after buying an additional 165 shares in the last quarter. Laird Norton Wetherby Wealth Management LLC raised its holdings in shares of NIKE by 0.8% during the third quarter. Laird Norton Wetherby Wealth Management LLC now owns 23,293 shares of the footwear maker’s stock valued at $1,624,000 after acquiring an additional 181 shares during the last quarter. NewEdge Advisors LLC lifted its position in shares of NIKE by 0.3% in the second quarter. NewEdge Advisors LLC now owns 64,161 shares of the footwear maker’s stock valued at $4,558,000 after acquiring an additional 197 shares in the last quarter. Finally, Mosaic Family Wealth Partners LLC boosted its stake in shares of NIKE by 0.6% in the fourth quarter. Mosaic Family Wealth Partners LLC now owns 32,607 shares of the footwear maker’s stock worth $2,077,000 after acquiring an additional 199 shares during the last quarter. 64.25% of the stock is currently owned by institutional investors and hedge funds.

Wall Street Analyst Weigh In

A number of equities research analysts have issued reports on NKE shares. China Renaissance decreased their price objective on NIKE from $74.60 to $50.30 and set a “hold” rating on the stock in a research report on Thursday, April 2nd. DA Davidson cut shares of NIKE from a “buy” rating to a “neutral” rating and cut their price objective for the company from $72.00 to $46.00 in a research report on Thursday, April 2nd. Jefferies Financial Group reduced their target price on shares of NIKE from $90.00 to $75.00 and set a “buy” rating on the stock in a research note on Wednesday. Guggenheim reiterated a “buy” rating and set a $60.00 price target (down from $74.00) on shares of NIKE in a report on Wednesday. Finally, UBS Group set a $48.00 price target on NIKE in a report on Wednesday. Fourteen investment analysts have rated the stock with a Buy rating, nineteen have issued a Hold rating and three have issued a Sell rating to the company. According to MarketBeat, NIKE presently has an average rating of “Hold” and a consensus price target of $56.04.

About NIKE

Nike, Inc (NYSE: NKE) is a global designer, marketer and distributor of athletic footwear, apparel, equipment and accessories. Founded in 1964 as Blue Ribbon Sports by Phil Knight and Bill Bowerman and renamed Nike in 1971, the company is headquartered near Beaverton, Oregon. Nike develops and commercializes products across performance and lifestyle categories for sports including running, basketball, soccer and training, and is known for signature technologies and design-driven product lines.

The company markets products under several primary brands, including Nike, Jordan and Converse, and sells through a combination of wholesale relationships, branded retail stores and direct-to-consumer channels such as company-operated stores and digital platforms (e.g., Nike.com and mobile apps).