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Nike (NKE) Gains As Market Dips: What You Should Know
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Nike (NKE - Free Report) closed at $110.68 in the latest trading session, marking a +0.31% move from the prior day. This move outpaced the S&P 500's daily loss of 0.22%. Elsewhere, the Dow lost 0.47%, while the tech-heavy Nasdaq lost 0.05%.
Heading into today, shares of the athletic apparel maker had gained 0.97% over the past month, outpacing the Consumer Discretionary sector's gain of 0.06% and lagging the S&P 500's gain of 4.59% in that time.
Investors will be hoping for strength from Nike as it approaches its next earnings release. On that day, Nike is projected to report earnings of $0.93 per share, which would represent a year-over-year decline of 19.83%. Meanwhile, our latest consensus estimate is calling for revenue of $12.37 billion, up 0.98% from the prior-year quarter.
NKE's full-year Zacks Consensus Estimates are calling for earnings of $3.80 per share and revenue of $50.49 billion. These results would represent year-over-year changes of +1.33% and +8.1%, respectively.
Investors should also note any recent changes to analyst estimates for Nike. These revisions help to show the ever-changing nature of near-term business trends. As a result, we can interpret positive estimate revisions as a good sign for the company's business outlook.
Our research shows that these estimate changes are directly correlated with near-term stock prices. 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 1.22% lower. Nike is holding a Zacks Rank of #4 (Sell) right now.
Valuation is also important, so investors should note that Nike has a Forward P/E ratio of 29.04 right now. This valuation marks a premium compared to its industry's average Forward P/E of 12.82.
Meanwhile, NKE's PEG ratio is currently 2.33. 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 was holding an average PEG ratio of 1.85 at yesterday's closing price.
The Shoes and Retail Apparel industry is part of the Consumer Discretionary sector. This group has a Zacks Industry Rank of 239, putting it in the bottom 6% 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.
To follow NKE in the coming trading sessions, be sure to utilize Zacks.com.
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Nike (NKE) Gains As Market Dips: What You Should Know
Nike (NKE - Free Report) closed at $110.68 in the latest trading session, marking a +0.31% move from the prior day. This move outpaced the S&P 500's daily loss of 0.22%. Elsewhere, the Dow lost 0.47%, while the tech-heavy Nasdaq lost 0.05%.
Heading into today, shares of the athletic apparel maker had gained 0.97% over the past month, outpacing the Consumer Discretionary sector's gain of 0.06% and lagging the S&P 500's gain of 4.59% in that time.
Investors will be hoping for strength from Nike as it approaches its next earnings release. On that day, Nike is projected to report earnings of $0.93 per share, which would represent a year-over-year decline of 19.83%. Meanwhile, our latest consensus estimate is calling for revenue of $12.37 billion, up 0.98% from the prior-year quarter.
NKE's full-year Zacks Consensus Estimates are calling for earnings of $3.80 per share and revenue of $50.49 billion. These results would represent year-over-year changes of +1.33% and +8.1%, respectively.
Investors should also note any recent changes to analyst estimates for Nike. These revisions help to show the ever-changing nature of near-term business trends. As a result, we can interpret positive estimate revisions as a good sign for the company's business outlook.
Our research shows that these estimate changes are directly correlated with near-term stock prices. 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 1.22% lower. Nike is holding a Zacks Rank of #4 (Sell) right now.
Valuation is also important, so investors should note that Nike has a Forward P/E ratio of 29.04 right now. This valuation marks a premium compared to its industry's average Forward P/E of 12.82.
Meanwhile, NKE's PEG ratio is currently 2.33. 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 was holding an average PEG ratio of 1.85 at yesterday's closing price.
The Shoes and Retail Apparel industry is part of the Consumer Discretionary sector. This group has a Zacks Industry Rank of 239, putting it in the bottom 6% 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.
To follow NKE in the coming trading sessions, be sure to utilize Zacks.com.