NIKE (NYSE:NKE) Price Target Cut to $39.00 by Analysts at Royal Bank Of Canada

NIKE (NYSE:NKE) had its price target lowered by Royal Bank Of Canada from $40.00 to $39.00 in a report released on Friday,Benzinga reports. The brokerage currently has a sector perform rating on the footwear maker’s stock.

NKE has been the subject of several other research reports. Wolfe Research began coverage on shares of NIKE in a research note on Wednesday, October 21st. They issued an “underperform” rating and a $28.00 target price for the company. Truist Financial lowered NIKE from a “hold” rating to a “sell” rating and set a $29.00 price target on the stock. in a research note on Thursday. Rothschild & Co Redburn reduced their price objective on NIKE from $45.00 to $37.00 and set a “sell” rating for the company in a research report on Friday, July 17th. Williams Trading downgraded NIKE from a “strong-buy” rating to a “hold” rating in a research report on Friday, October 2nd. Finally, Wall Street Zen lowered NIKE from a “hold” rating to a “sell” rating in a report on Saturday, October 3rd. One investment analyst has rated the stock with a Strong Buy rating, seven have assigned a Buy rating, twenty have given a Hold rating and twelve have given a Sell rating to the stock. According to MarketBeat.com, the stock currently has a consensus rating of “Reduce” and a consensus price target of $40.91.

NIKE Stock Performance

NKE stock traded down $0.95 on Friday, reaching $38.61. 20,432,263 shares of the company were exchanged, compared to its average volume of 27,603,836. The firm has a market capitalization of $57.35 billion, a PE ratio of 18.56, a PEG ratio of 4.57 and a beta of 1.01. NIKE has a 12 month low of $31.97 and a 12 month high of $69.14. The stock’s fifty day moving average price is $36.91 and its 200 day moving average price is $45.63. The company has a debt-to-equity ratio of 0.39, a current ratio of 2.07 and a quick ratio of 1.39.

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

Insider Transactions at NIKE

In related news, EVP Philip McCartney sold 2,559 shares of NIKE stock in a transaction dated Wednesday, September 9th. The shares were sold at an average price of $37.59, for a total transaction of $96,192.81. Following the completion of the transaction, the executive vice president directly owned 78,121 shares of the company’s stock, valued at $2,936,568.39. This trade represents a 3.17% decrease in their position. The sale was disclosed in a document filed with the SEC, which is available at this hyperlink. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, COO Venkatesh Alagirisamy sold 3,671 shares of the business’s stock in a transaction dated Wednesday, September 9th. The shares were sold at an average price of $37.59, for a total transaction of $137,992.89. Following the completion of the transaction, the chief operating officer owned 104,862 shares in the company, valued at approximately $3,941,762.58. This trade represents a 3.38% decrease in their ownership of the stock. The disclosure for this sale is available in the SEC filing. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Company insiders own 1.10% of the company’s stock.

Institutional Inflows and Outflows

Several institutional investors and hedge funds have recently modified their holdings of NKE. Silver Oak Advisory Group Inc. increased its stake in shares of NIKE by 6.4% in the third quarter. Silver Oak Advisory Group Inc. now owns 5,748 shares of the footwear maker’s stock valued at $203,000 after buying an additional 347 shares in the last quarter. Vista Capital Partners Inc. acquired a new stake in NIKE in the 3rd quarter valued at about $1,001,000. Carson Advisory Inc. lifted its position in shares of NIKE by 19.1% during the third quarter. Carson Advisory Inc. now owns 7,545 shares of the footwear maker’s stock worth $267,000 after purchasing an additional 1,210 shares in the last quarter. ICICI Prudential Asset Management Co Ltd grew its stake in shares of NIKE by 15.9% during the third quarter. ICICI Prudential Asset Management Co Ltd now owns 199,247 shares of the footwear maker’s stock valued at $7,053,000 after purchasing an additional 27,267 shares during the last quarter. Finally, Marble Harbor Investment Counsel LLC increased its holdings in shares of NIKE by 37.8% in the third quarter. Marble Harbor Investment Counsel LLC now owns 87,469 shares of the footwear maker’s stock valued at $3,096,000 after purchasing an additional 23,985 shares in the last quarter. 64.25% of the stock is owned by institutional investors and hedge funds.

Key Stories Impacting NIKE

Here are the key news stories impacting NIKE this week:

• Positive Sentiment: NIKE shares gained 13.9% over the past month, with performance categories and North America showing traction. However, persistent China weakness and earnings pressure make the durability of the rebound uncertain. Read article
• Neutral Sentiment: RBC expects NIKE’s five-year financial targets to be broadly in line with consensus, suggesting its Capital Markets Day may clarify strategy without providing a major near-term catalyst for the stock. Read article
• Negative Sentiment: Analyst caution is weighing on sentiment: Truist downgraded NIKE to “sell” with a $29 target, while UBS maintained “neutral” and a $34 target, warning the recovery may lag valuation expectations. RBC also cut its target to $39 and kept a sector-perform rating. Read article
• Negative Sentiment: Reports point to shrinking Jordan and Dunk sales, with the CEO acknowledging a prior blind spot. A pullback in Jordan sneakers could also create an opening for competitors. Read article
• Negative Sentiment: NIKE’s fiscal 2027 outlook highlights potential sales and earnings pressure; planned $2.5 billion in cost savings could help longer term but may not offset near-term revenue risks. China remains a key concern, with sales there down 25% year over year in the latest reported quarter. Read article

NIKE Company Profile

NIKE, Inc designs, develops, markets and sells athletic footwear, apparel, equipment and accessories for sports and fitness, as well as lifestyle products. Its portfolio includes the Nike and Jordan brands, and it owns Converse, which sells casual footwear, apparel and accessories.

The company sells products worldwide through wholesale partners and its own retail stores and digital platforms. Its offerings serve customers across a range of sports and activities, including running, basketball, soccer and training.

NIKE traces its roots to Blue Ribbon Sports, founded in 1964 by Phil Knight and Bill Bowerman.