NIKE (NYSE:NKE) Reaches New 52-Week Low After Analyst Downgrade

NIKE, Inc. (NYSE:NKE) shares hit a new 52-week low during trading on Wednesday after UBS Group lowered their price target on the stock from $58.00 to $54.00. UBS Group currently has a neutral rating on the stock. NIKE traded as low as $46.62 and last traded at $45.8590, with a volume of 5504243 shares traded. The stock had previously closed at $52.82.

A number of other equities research analysts have also issued reports on NKE. Barclays dropped their target price on shares of NIKE from $73.00 to $67.00 and set an “overweight” rating for the company in a report on Wednesday. Raymond James Financial reissued a “market perform” rating on shares of NIKE in a research note on Monday, December 15th. Stifel Nicolaus lowered their price target on shares of NIKE from $65.00 to $56.00 and set a “hold” rating on the stock in a research report on Wednesday. Weiss Ratings raised shares of NIKE from a “sell (d+)” rating to a “hold (c-)” rating in a research note on Monday, January 12th. Finally, BTIG Research cut their price objective on shares of NIKE from $90.00 to $75.00 and set a “buy” rating for the company in a report on Wednesday. Nineteen analysts have rated the stock with a Buy rating, thirteen have issued a Hold rating and one has issued a Sell rating to the stock. According to MarketBeat.com, NIKE presently has an average rating of “Moderate Buy” and an average price target of $64.43.

More NIKE News

Here are the key news stories impacting NIKE this week:

• Positive Sentiment: Q3 beat on the headlines — NIKE reported $11.28B in revenue and $0.35 EPS, modestly above consensus, showing the turnaround program is producing some topline stability and earnings beats. Business Wire: NIKE Q3 release
• Positive Sentiment: Product and regional pockets of strength — North America and running categories showed improvement, supporting management’s claim that parts of the turnaround are working. Reuters: Q3 sales beat
• Neutral Sentiment: Mixed analyst reaction — Several firms cut price targets and ratings while others reaffirmed buys; the street is divided on timing and magnitude of the recovery. Expect more target revisions as guidance is digested. Benzinga: analyst cuts
• Negative Sentiment: Weak guidance is the main driver — NIKE guided Q4 revenue lower (management now expects a decline rather than growth), signaling the turnaround will take longer and removing near‑term certainty. CNBC: guidance and turnaround outlook
• Negative Sentiment: China slump — management projects a sharp drop in Greater China sales (around the guidance window), worsening a key market and pressuring revenue and margin recovery. Invezz: China sales impact
• Negative Sentiment: Margin and cost headwinds — tariffs, promotions and inventory cleanup weighed on gross margin and guidance for margin recovery is delayed, increasing near‑term earnings risk. Zacks: margin pressures
• Negative Sentiment: Market reaction and analyst downgrades — heavy trading, multiple price‑target cuts and downgrades accelerated the selloff and pushed the stock to multi‑year/52‑week lows. Investopedia: stock reaction

Institutional Inflows and Outflows

Several institutional investors and hedge funds have recently modified their holdings of the company. Cornerstone Financial Management LLC purchased a new position in NIKE during the fourth quarter worth about $26,000. Sankala Group LLC purchased a new stake in shares of NIKE in the 4th quarter valued at approximately $26,000. J.Safra Asset Management Corp purchased a new stake in shares of NIKE in the 4th quarter valued at approximately $29,000. Kemnay Advisory Services Inc. acquired a new stake in shares of NIKE during the 4th quarter worth approximately $30,000. Finally, Twin Peaks Wealth Advisors LLC purchased a new stake in shares of NIKE during the 2nd quarter valued at approximately $31,000. Institutional investors and hedge funds own 64.25% of the company’s stock.

NIKE Trading Down 15.3%

The stock has a market cap of $66.21 billion, a PE ratio of 29.62, a price-to-earnings-growth ratio of 2.78 and a beta of 1.31. The company’s 50-day moving average price is $59.27 and its 200 day moving average price is $63.53. The company has a debt-to-equity ratio of 0.50, a quick ratio of 1.40 and a current ratio of 2.06.

NIKE (NYSE:NKE) last issued its quarterly earnings data on Tuesday, March 31st. The footwear maker reported $0.35 earnings per share for the quarter, topping the consensus estimate of $0.29 by $0.06. The company had revenue of $11.28 billion during the quarter, compared to analyst estimates of $11.23 billion. NIKE had a return on equity of 16.56% and a net margin of 4.84%.The firm’s revenue for the quarter was up .1% compared to the same quarter last year. During the same period in the prior year, the business posted $0.54 earnings per share. On average, sell-side analysts forecast that NIKE, Inc. will post 2.05 EPS for the current fiscal year.

NIKE Announces Dividend

The firm also recently declared a quarterly dividend, which was paid on Wednesday, April 1st. Stockholders of record on Monday, March 2nd were issued a dividend of $0.41 per share. The ex-dividend date was Monday, March 2nd. This represents a $1.64 dividend on an annualized basis and a dividend yield of 3.7%. NIKE’s dividend payout ratio is currently 96.47%.

NIKE Company Profile

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).