NIKE (NYSE:NKE) Sets New 52-Week Low on Analyst Downgrade

NIKE, Inc. (NYSE:NKE) reached a new 52-week low on Tuesday after Weiss Ratings downgraded the stock from a hold (c-) rating to a sell (d+) rating. The stock traded as low as $43.09 and last traded at $42.8470, with a volume of 2926525 shares trading hands. The stock had previously closed at $44.03.

Several other equities analysts have also weighed in on NKE. Needham & Company LLC lowered NIKE from a “buy” rating to a “hold” rating in a research note on Thursday, January 8th. Williams Trading reduced their price objective on NIKE from $80.00 to $57.00 and set a “buy” rating on the stock in a research note on Wednesday, April 1st. KeyCorp reduced their price objective on NIKE from $90.00 to $75.00 and set an “overweight” rating on the stock in a research note on Thursday, January 22nd. Raymond James Financial reaffirmed a “market perform” rating on shares of NIKE in a research note on Monday, December 15th. Finally, JPMorgan Chase & Co. reissued a “neutral” rating and set a $52.00 price target on shares of NIKE in a research report on Wednesday, April 1st. Nineteen research analysts have rated the stock with a Buy rating, fifteen have issued a Hold rating and two have given a Sell rating to the company. According to data from MarketBeat.com, the company presently has a consensus rating of “Hold” and an average target price of $63.25.

Key Headlines Impacting NIKE

Here are the key news stories impacting NIKE this week:

• Positive Sentiment: Dividend yield has risen to nearly 4% as the share price has fallen, which could attract income-seeking investors and provide a valuation floor for long-term buyers. Read More.
• Positive Sentiment: Management announced sweeping cost cuts, workforce resizing and a supply‑chain reset; analysts expect benefits to build in FY27, which supports a case for improving margins over time. Read More.
• Positive Sentiment: Some commentators view the deep multi‑year sell‑off as creating a generational buying opportunity, pointing to pockets of underlying strength (e.g., North America) and the stock’s much lower valuation versus history. Read More.
• Neutral Sentiment: Broader industry weakness highlighted by the distressed sale of Allbirds underscores sector headwinds, providing context but not unique to Nike’s specific operational issues. Read More.
• Negative Sentiment: Analysts and commentary flag prolonged weak performance: shares are down sharply YTD and ~65% over five years, raising doubts about the pace of any rebound and investor appetite. Read More.
• Negative Sentiment: Multiple articles warn the turnaround is taking longer than expected, citing execution risk under the current CEO and renewed share-price plunges as investors penalize delayed progress. Read More.
• Negative Sentiment: CICC downgraded NKE from outperform to market perform and lowered its price target, a near‑term headwind that can amplify selling pressure from institutional holders. Read More.
• Negative Sentiment: Johnson Fistel announced an investigation into potential investor claims against Nike’s executives, adding legal/litigation risk that can weigh on sentiment until resolved. Read More.

Hedge Funds Weigh In On NIKE

Several hedge funds and other institutional investors have recently bought and sold shares of NKE. Cornerstone Financial Management LLC acquired a new position in NIKE during the 4th quarter worth approximately $26,000. Sankala Group LLC acquired a new position in shares of NIKE in the 4th quarter valued at approximately $26,000. J.Safra Asset Management Corp acquired a new position in shares of NIKE in the 4th quarter valued at approximately $29,000. Kemnay Advisory Services Inc. acquired a new position in shares of NIKE in the 4th quarter valued at approximately $30,000. Finally, Litman Gregory Wealth Management LLC acquired a new position in shares of NIKE in the 4th quarter valued at approximately $32,000. 64.25% of the stock is owned by institutional investors and hedge funds.

NIKE Stock Performance

The stock has a 50-day simple moving average of $57.60 and a 200-day simple moving average of $62.66. The company has a market capitalization of $63.18 billion, a price-to-earnings ratio of 28.26, a price-to-earnings-growth ratio of 2.34 and a beta of 1.31. The company has a current ratio of 2.14, a quick ratio of 1.40 and a debt-to-equity ratio of 0.50.

NIKE (NYSE:NKE) last announced its earnings results on Tuesday, March 31st. The footwear maker reported $0.35 earnings per share (EPS) for the quarter, beating analysts’ consensus estimates of $0.29 by $0.06. NIKE had a return on equity of 16.41% and a net margin of 4.84%.The company had revenue of $11.28 billion for the quarter, compared to analyst estimates of $11.23 billion. During the same period in the prior year, the company posted $0.54 EPS. NIKE’s quarterly revenue was up .1% on a year-over-year basis. On average, analysts anticipate that NIKE, Inc. will post 2.05 earnings per share for the current year.

NIKE Announces Dividend

The firm also recently announced a quarterly dividend, which was paid on Wednesday, April 1st. Shareholders of record on Monday, March 2nd were given a $0.41 dividend. This represents a $1.64 dividend on an annualized basis and a dividend yield of 3.8%. The ex-dividend date of this dividend was Monday, March 2nd. NIKE’s dividend payout ratio is presently 108.61%.

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).