NIKE (NYSE:NKE) Shares Up 2% – Should You Buy?

Shares of NIKE, Inc. (NYSE:NKE) traded up 2% during trading on Thursday. The stock traded as high as $38.44 and last traded at $38.2630. 28,040,134 shares were traded during trading, an increase of 13% from the average session volume of 24,778,326 shares. The stock had previously closed at $37.53.

Key NIKE News

Here are the key news stories impacting NIKE this week:

• Positive Sentiment: NIKE’s fiscal first-quarter earnings beat expectations, with EPS of $0.48 versus the $0.43 consensus estimate. The result is strengthening hopes that the company’s brand and product reset may be beginning to stabilize performance. Nike stock climbs as fiscal first-quarter beat lifts reset hopes
• Positive Sentiment: Guggenheim and BTIG Research reaffirmed “buy” ratings and set $50 price targets, implying substantial upside from recent levels. Barclays also raised its target to $45 and said the shares may be near a bottom. Nike stock is climbing Barclays raises Nike price target
• Positive Sentiment: Argus Research initiated coverage with a buy rating, adding to the view that NIKE’s depressed valuation could offer recovery potential if wholesale relationships, product innovation and brand momentum improve. Nike gets a buy rating from Argus Research
• Neutral Sentiment: UBS maintained a neutral rating, emphasizing that the pace of earnings recovery remains uncertain. The stock’s rebound reflects optimism, but analysts are still waiting for clearer evidence of sustained sales and profit growth. UBS reiterates neutral rating on Nike
• Negative Sentiment: NIKE continues to report declining sales, with fiscal 2027 expected to remain challenging. Digital sales and direct-to-consumer performance in Greater China are weakening, while local competitors are taking market share. Nike digital sales slowdown
• Negative Sentiment: Restructuring and layoffs are adding near-term pressure and could limit the benefits of the portfolio reset. Although NIKE offers an approximately 4.4% forward dividend yield and a long dividend-growth record, the payout is increasingly dependent on a successful turnaround. Nike restructuring and layoffs

Analyst Ratings Changes

NKE has been the subject of several recent analyst reports. DZ Bank downgraded shares of NIKE from a “strong-buy” rating to a “strong sell” rating in a report on Friday, October 2nd. BNP Paribas Exane set a $19.00 price target on NIKE and gave the company an “underperform” rating in a report on Friday, October 2nd. Rothschild & Co Redburn lowered their price objective on NIKE from $45.00 to $37.00 and set a “sell” rating on the stock in a research report on Friday, July 17th. BTIG Research reaffirmed a “buy” rating and issued a $50.00 price objective on shares of NIKE in a research note on Thursday. Finally, Telsey Advisory Group set a $35.00 price objective on NIKE and gave the stock a “market perform” rating in a research note on Friday, October 2nd. One research analyst has rated the stock with a Strong Buy rating, seven have given a Buy rating, twenty-one have assigned a Hold rating and eleven have issued a Sell rating to the stock. According to data from MarketBeat.com, the stock presently has an average rating of “Reduce” and a consensus target price of $40.93.

NIKE Price Performance

The firm’s fifty day moving average price is $37.19 and its 200 day moving average price is $41.31. The company has a quick ratio of 1.39, a current ratio of 2.07 and a debt-to-equity ratio of 0.39. The stock has a market cap of $56.83 billion, a PE ratio of 18.40, a P/E/G ratio of 4.44 and a beta of 1.09.

NIKE (NYSE:NKE) last posted its earnings results on Thursday, October 1st. The footwear maker reported $0.48 earnings per share for the quarter, beating the consensus estimate of $0.43 by $0.05. The company had revenue of $11.21 billion during the quarter, compared to analysts’ expectations of $11.32 billion. NIKE had a net margin of 6.74% and a return on equity of 15.94%. NIKE’s quarterly revenue was down 4.3% on a year-over-year basis. During the same period last year, the company posted $0.49 earnings per share. NIKE has set its FY 2027 guidance at 1.150-1.350 EPS. As a group, equities analysts expect that NIKE, Inc. will post 1.22 EPS for the current fiscal year.

NIKE Dividend Announcement

The business also recently disclosed a quarterly dividend, which was paid on Thursday, October 1st. Shareholders of record on Tuesday, September 1st were issued a dividend of $0.41 per share. This represents a $1.64 annualized dividend and a dividend yield of 4.3%. The ex-dividend date of this dividend was Tuesday, September 1st. NIKE’s dividend payout ratio is 78.85%.

Insider Activity at NIKE

In related news, insider Amy Montagne sold 4,867 shares of the business’s stock in a transaction dated Friday, August 7th. The stock was sold at an average price of $42.05, for a total value of $204,657.35. Following the sale, the insider directly owned 57,436 shares in the company, valued at approximately $2,415,183.80. The trade was a 7.81% decrease in their ownership of the stock. The transaction was disclosed in a filing with the Securities & Exchange Commission, which is accessible through this hyperlink. Also, EVP Philip McCartney sold 2,559 shares of the business’s stock in a transaction dated Wednesday, September 9th. The stock was sold at an average price of $37.59, for a total value of $96,192.81. Following the completion of the sale, the executive vice president owned 78,121 shares in the company, valued at $2,936,568.39. This represents a 3.17% decrease in their ownership of the stock. Additional details regarding this sale are available in the official SEC disclosure. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Insiders sold 14,974 shares of company stock worth $600,126 over the last 90 days. Company insiders own 1.10% of the company’s stock.

Hedge Funds Weigh In On NIKE

Institutional investors have recently added to or reduced their stakes in the company. Flossbach Von Storch SE bought a new stake in NIKE in the 2nd quarter worth approximately $488,714,000. State Street Corp boosted its position in shares of NIKE by 6.8% during the 2nd quarter. State Street Corp now owns 63,598,789 shares of the footwear maker’s stock valued at $2,636,104,000 after acquiring an additional 4,052,428 shares during the last quarter. Confluence Investment Management LLC boosted its position in shares of NIKE by 873.8% during the 3rd quarter. Confluence Investment Management LLC now owns 2,720,616 shares of the footwear maker’s stock valued at $96,310,000 after acquiring an additional 2,441,233 shares during the last quarter. Equity Investment Corp purchased a new position in shares of NIKE in the second quarter valued at $99,531,000. Finally, Amundi grew its holdings in shares of NIKE by 59.4% in the second quarter. Amundi now owns 6,460,398 shares of the footwear maker’s stock valued at $265,199,000 after purchasing an additional 2,406,609 shares in the last quarter. Hedge funds and other institutional investors own 64.25% of the company’s stock.

About NIKE

NIKE, Inc is a global athletic footwear, apparel, equipment and accessories company headquartered near Beaverton, Oregon. The company designs, develops, markets and sells products under the Nike, Jordan and Converse brands, serving athletes and consumers across a broad range of sports and lifestyle categories.

NIKE’s product portfolio includes athletic and casual footwear, performance and lifestyle apparel, sports equipment, accessories and digital fitness-related offerings. The company distributes its products through company-owned retail stores, digital platforms and wholesale partners, while also operating direct-to-consumer and membership programs.

The company traces its origins to 1964, when Phil Knight and Bill Bowerman founded Blue Ribbon Sports.