NIKE (NYSE:NKE) Sees Large Volume Increase Following Better-Than-Expected Earnings

NIKE, Inc. (NYSE:NKE) saw strong trading volume on Friday following a stronger than expected earnings report. 7,379,743 shares traded hands during trading, a decline of 36% from the previous session’s volume of 11,531,662 shares.The stock last traded at $76.36 and had previously closed at $77.10.

The footwear maker reported $0.78 EPS for the quarter, beating analysts’ consensus estimates of $0.63 by $0.15. The business had revenue of $12.35 billion during the quarter, compared to analyst estimates of $12.11 billion. NIKE had a return on equity of 39.84% and a net margin of 10.60%. The firm’s revenue was down 7.7% compared to the same quarter last year. During the same period in the previous year, the company posted $1.03 EPS.

NIKE Increases Dividend

The company also recently announced a quarterly dividend, which will be paid on Thursday, January 2nd. Investors of record on Monday, December 2nd will be issued a $0.40 dividend. This is a boost from NIKE’s previous quarterly dividend of $0.37. This represents a $1.60 dividend on an annualized basis and a dividend yield of 2.08%. The ex-dividend date is Monday, December 2nd. NIKE’s dividend payout ratio (DPR) is currently 45.85%.

Wall Street Analysts Forecast Growth

Several research analysts have weighed in on NKE shares. Needham & Company LLC restated a “buy” rating and set a $84.00 price objective on shares of NIKE in a report on Friday. JPMorgan Chase & Co. lowered their target price on shares of NIKE from $77.00 to $73.00 and set a “neutral” rating on the stock in a report on Monday, December 2nd. Robert W. Baird lifted their price target on NIKE from $100.00 to $110.00 and gave the company an “outperform” rating in a research note on Friday, September 20th. Deutsche Bank Aktiengesellschaft lowered their price objective on NIKE from $92.00 to $82.00 and set a “buy” rating for the company in a research note on Monday, December 16th. Finally, Truist Financial cut their target price on NIKE from $97.00 to $90.00 and set a “buy” rating on the stock in a research report on Friday. Fifteen equities research analysts have rated the stock with a hold rating and fifteen have given a buy rating to the stock. According to MarketBeat.com, the stock presently has an average rating of “Moderate Buy” and a consensus target price of $89.77.

Institutional Investors Weigh In On NIKE

Hedge funds and other institutional investors have recently modified their holdings of the stock. Teachers Insurance & Annuity Association of America purchased a new position in NIKE during the third quarter valued at approximately $30,000. VitalStone Financial LLC grew its position in shares of NIKE by 52.6% during the 3rd quarter. VitalStone Financial LLC now owns 435 shares of the footwear maker’s stock valued at $38,000 after purchasing an additional 150 shares in the last quarter. Dunhill Financial LLC increased its holdings in shares of NIKE by 52.2% in the third quarter. Dunhill Financial LLC now owns 493 shares of the footwear maker’s stock worth $44,000 after purchasing an additional 169 shares during the period. Strategic Financial Concepts LLC purchased a new stake in shares of NIKE in the second quarter worth $48,000. Finally, Ecofi Investissements SA purchased a new stake in shares of NIKE in the second quarter worth $49,000. 64.25% of the stock is currently owned by institutional investors.

NIKE Stock Down 0.2 %

The company has a 50 day moving average of $78.07 and a 200-day moving average of $80.65. The company has a debt-to-equity ratio of 0.57, a current ratio of 2.36 and a quick ratio of 1.58. The company has a market cap of $115.36 billion, a P/E ratio of 22.05, a price-to-earnings-growth ratio of 1.89 and a beta of 1.02.

About NIKE

NIKE, Inc, together with its subsidiaries, designs, develops, markets, and sells athletic footwear, apparel, equipment, accessories, and services worldwide. The company provides athletic and casual footwear, apparel, and accessories under the Jumpman trademark; and casual sneakers, apparel, and accessories under the Converse, Chuck Taylor, All Star, One Star, Star Chevron, and Jack Purcell trademarks.