Just do it isn't just a slogan; it's a mindset that Nike Inc embodies, making it a standout player in the world of consumer durables and apparel. As a titan in the footwear and accessories industry, Nike's influence is undeniable, with a market presence that continues to captivate investors. The company, traded under the ticker NKE on the NYSE, has an enterprise value of $108.3 billion, underscoring its significant market footprint. Despite a recent quarterly revenue growth loss of 8%, Nike's robust operating income of $6.7 billion highlights its ability to generate substantial profits. With a return on equity of 34.67%, Nike demonstrates its efficiency in using shareholder funds to generate earnings, making it a compelling consideration for those seeking long-term value. Nike's Enterprise Value is anticipated to rise substantially, reflecting recent trends. This year, Days Sales Outstanding is projected to reach 61.06, while the Dividend Yield is expected to dip to 0.01. Let's explore why Nike's recent price movements hint at a potential rebound in April. We'll also examine various factors influencing Nike's products and services and discuss their potential impact on shareholders.
The performance of Nike Inc in the marketplace will significantly impact your decision to invest in its stock. Revenue growth, profitability, competitive positioning, management quality, and industry trends can influence Nike's
stock prices. When investing in Nike, there are several factors to consider and potential outcomes to expect. As a company performs well, its stock price may increase, allowing investors to benefit from price appreciation. However, Nike Stock can experience significant price fluctuations due to market conditions, economic factors, industry trends, or company-specific news. This is why investing in stocks such as Nike carries risks, including the potential for capital loss. Stock prices can decline, and investors may incur losses if they sell shares at a lower price than their initial investment.
And What about dividends?
A dividend is the distribution of a portion of Nike earnings, decided and managed by the company's board of directors and paid to a class of its shareholders. Note, announcements of dividend payouts are generally accompanied by a proportional increase or decrease in a company's stock price. Nike dividend payments follow a chronological order of events, and the associated dates are important to determine the shareholders who qualify for receiving the dividend payment. Nike one year expected dividend income is about USD0.99 per share.
The current year's
Dividends Paid is expected to grow to about 2.6
B, whereas
Dividend Yield is forecasted to decline to 0.01.
Investing in dividend-paying stocks, such as Nike Inc is one of the few strategies that are good for long-term investment. Ex-dividend dates are significant because investors in Nike must own a stock before its ex-dividend date to receive its next dividend.
This type of analysis is very useful when you want to generate a past dividend schedule and payout information for Nike. Then that information in the form of graph and calendar can be used to fully explain how Du Pont dividends can provide a real clue to its valuation.
How important is Nike's Liquidity
Nike
financial leverage refers to using borrowed capital as a funding source to finance Nike Inc ongoing operations. It is usually used to expand the firm's asset base and generate returns on borrowed capital. Nike financial leverage is typically calculated by taking the company's all interest-bearing debt and dividing it by total capital. So the higher the debt-to-capital ratio (i.e., financial leverage), the riskier the company. Financial leverage can amplify the potential profits to Nike's owners, but it also increases the potential losses and risk of financial distress, including bankruptcy, if the firm cannot cover its debt costs. The degree of Nike's financial leverage can be measured in several ways, including by ratios such as the debt-to-equity ratio (total debt / total equity), equity multiplier (total assets / total equity), or the debt ratio (total debt / total assets). Please check the
breakdown between Nike's total debt and its cash.
What do experts say about Nike?
Stock analysis is a method for investors and traders to make buying and selling decisions. By studying and evaluating past and current data, investors and traders attempt to gain an edge in the markets by making informed decisions.
Analysis ConsensusA Deeper Perspective On Nike
The asset utilization indicator refers to the revenue earned for every dollar of assets a company currently reports. Nike has an asset utilization ratio of 134.77 percent. This indicates that the Company is making $1.35 for each dollar of assets. An increasing asset utilization means that Nike Inc is more efficient with each dollar of assets it utilizes for everyday operations.
| 2022 | 2023 | 2024 | 2025 (projected) |
Short Long Term Debt Total | 12.1B | 12.0B | 13.7B | 14.4B | Total Assets | 37.5B | 38.1B | 43.8B | 46.0B |
Buy low, sell high is a timeless strategy, and Nike Inc.
(NYSE: NKE) offers compelling reasons to consider it for your portfolio. With a robust market capitalization of $109.01 billion and a solid net income of $5.7 billion, Nike demonstrates financial strength and resilience. The company's return on equity stands at an impressive 35%, indicating efficient use of shareholder funds to generate profits. Despite a modest five-year return of 0.95%, Nike's strong brand presence and innovative product lines in the Footwear & Accessories industry position it well for future growth. With a price-to-earnings ratio of 30.18x, investors might find value in Nike's potential for long-term appreciation..
Nike is likely finish below $75 in 30 days
Nike's stock might encounter some challenges soon, as its Jensen's alpha has dipped slightly to -0.01, indicating a minor underperformance compared to its benchmark. This suggests that Nike's returns aren't quite aligning with its risk expectations. Consequently, the stock might struggle to hold its current position, possibly dropping below $75 in the next month. Investors should monitor market trends and any specific developments related to Nike that could influence its short-term path. The stock shows low volatility, with a skewness of 0.73 and kurtosis of 1.4. Understanding these volatility trends can help investors make informed decisions. During bear markets, increased volatility can affect Nike's stock price, prompting investors to adjust their portfolios as prices fluctuate.
Our Final Take On Nike
When is the right time to buy or sell Nike Inc? Buying stocks such as Nike isn't very hard. However, what challenging for most investors is doing it at the right time. Proper market timing is something most people cannot do without sophisticated tools, which help to isolate the right opportunities, deliver winning trades and diversify portfolios on a daily basis.
To sum up, as of the 18th of March 2025, our primary 90 days recommendation on the firm is
Strong Hold. We believe Nike is
undervalued with
low probability of distress for the next two years.
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Ellen Johnson is a Member of Macroaxis Editorial Board. Ellen covers public companies in North America, focusing primarily on valuation and volatility. Six years of experience in predictive investment analytics and risk management.
View Profile This story should be regarded as informational only and should not be considered a solicitation to sell or buy any financial products. Macroaxis does not express any opinion as to the present or future value of any investments referred to in this post. This post may not be reproduced without the consent of Macroaxis LLC. Macroaxis LLC and Ellen Johnson do not own shares of Nike Inc. Please refer to our
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