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Nike (NKE) Gains But Lags Market: What You Should Know
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Nike (NKE - Free Report) closed at $128.95 in the latest trading session, marking a +0.04% move from the prior day. This change lagged the S&P 500's 1.17% gain on the day. Elsewhere, the Dow gained 2.95%, while the tech-heavy Nasdaq lost 1.53%.
Heading into today, shares of the athletic apparel maker had lost 0.62% over the past month, lagging the Consumer Discretionary sector's gain of 3.43% and the S&P 500's gain of 4.58% in that time.
Wall Street will be looking for positivity from NKE as it approaches its next earnings report date. On that day, NKE is projected to report earnings of $0.62 per share, which would represent a year-over-year decline of 11.43%. Our most recent consensus estimate is calling for quarterly revenue of $10.61 billion, up 2.79% from the year-ago period.
Looking at the full year, our Zacks Consensus Estimates suggest analysts are expecting earnings of $2.83 per share and revenue of $42.18 billion. These totals would mark changes of +76.88% and +12.77%, respectively, from last year.
It is also important to note the recent changes to analyst estimates for NKE. These revisions typically reflect the latest short-term business trends, which can change frequently. As a result, we can interpret positive estimate revisions as a good sign for the company's business outlook.
Based on our research, we believe these estimate revisions are directly related to near-team stock moves. We developed the Zacks Rank to capitalize on this phenomenon. Our system takes these estimate changes into account and delivers a clear, actionable rating model.
The Zacks Rank system, which ranges from #1 (Strong Buy) to #5 (Strong Sell), has an impressive outside-audited track record of outperformance, with #1 stocks generating an average annual return of +25% since 1988. Within the past 30 days, our consensus EPS projection has moved 1.85% higher. NKE is holding a Zacks Rank of #1 (Strong Buy) right now.
In terms of valuation, NKE is currently trading at a Forward P/E ratio of 45.55. This represents a premium compared to its industry's average Forward P/E of 34.32.
Meanwhile, NKE's PEG ratio is currently 2.73. This metric is used similarly to the famous P/E ratio, but the PEG ratio also takes into account the stock's expected earnings growth rate. The Shoes and Retail Apparel industry currently had an average PEG ratio of 2.73 as of yesterday's close.
The Shoes and Retail Apparel industry is part of the Consumer Discretionary sector. This group has a Zacks Industry Rank of 49, putting it in the top 20% of all 250+ industries.
The Zacks Industry Rank gauges the strength of our industry groups by measuring the average Zacks Rank of the individual stocks within the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
Be sure to follow all of these stock-moving metrics, and many more, on Zacks.com.
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Nike (NKE) Gains But Lags Market: What You Should Know
Nike (NKE - Free Report) closed at $128.95 in the latest trading session, marking a +0.04% move from the prior day. This change lagged the S&P 500's 1.17% gain on the day. Elsewhere, the Dow gained 2.95%, while the tech-heavy Nasdaq lost 1.53%.
Heading into today, shares of the athletic apparel maker had lost 0.62% over the past month, lagging the Consumer Discretionary sector's gain of 3.43% and the S&P 500's gain of 4.58% in that time.
Wall Street will be looking for positivity from NKE as it approaches its next earnings report date. On that day, NKE is projected to report earnings of $0.62 per share, which would represent a year-over-year decline of 11.43%. Our most recent consensus estimate is calling for quarterly revenue of $10.61 billion, up 2.79% from the year-ago period.
Looking at the full year, our Zacks Consensus Estimates suggest analysts are expecting earnings of $2.83 per share and revenue of $42.18 billion. These totals would mark changes of +76.88% and +12.77%, respectively, from last year.
It is also important to note the recent changes to analyst estimates for NKE. These revisions typically reflect the latest short-term business trends, which can change frequently. As a result, we can interpret positive estimate revisions as a good sign for the company's business outlook.
Based on our research, we believe these estimate revisions are directly related to near-team stock moves. We developed the Zacks Rank to capitalize on this phenomenon. Our system takes these estimate changes into account and delivers a clear, actionable rating model.
The Zacks Rank system, which ranges from #1 (Strong Buy) to #5 (Strong Sell), has an impressive outside-audited track record of outperformance, with #1 stocks generating an average annual return of +25% since 1988. Within the past 30 days, our consensus EPS projection has moved 1.85% higher. NKE is holding a Zacks Rank of #1 (Strong Buy) right now.
In terms of valuation, NKE is currently trading at a Forward P/E ratio of 45.55. This represents a premium compared to its industry's average Forward P/E of 34.32.
Meanwhile, NKE's PEG ratio is currently 2.73. This metric is used similarly to the famous P/E ratio, but the PEG ratio also takes into account the stock's expected earnings growth rate. The Shoes and Retail Apparel industry currently had an average PEG ratio of 2.73 as of yesterday's close.
The Shoes and Retail Apparel industry is part of the Consumer Discretionary sector. This group has a Zacks Industry Rank of 49, putting it in the top 20% of all 250+ industries.
The Zacks Industry Rank gauges the strength of our industry groups by measuring the average Zacks Rank of the individual stocks within the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
Be sure to follow all of these stock-moving metrics, and many more, on Zacks.com.