American Alpha Advisors LLC Makes New Investment in NIKE, Inc. (NYSE:NKE)

Key Points

• American Alpha Advisors LLC recently acquired a new position in NIKE, purchasing 4,992 shares valued at about $317,000.
• NIKE reported a quarterly earnings per share of $0.14, exceeding analysts' expectations, although revenues dropped by 11.9% year-over-year to $11.10 billion.
• The company announced a quarterly dividend of $0.40 per share, payable on October 1st, representing an annualized yield of 2.2%.

American Alpha Advisors LLC purchased a new stake in NIKE, Inc. (NYSE:NKE - Free Report) during the first quarter, according to the company in its most recent 13F filing with the Securities and Exchange Commission. The institutional investor purchased 4,992 shares of the footwear maker's stock, valued at approximately $317,000.

Other large investors have also added to or reduced their stakes in the company. Heck Capital Advisors LLC bought a new stake in NIKE in the 4th quarter valued at $28,000. Roxbury Financial LLC increased its position in NIKE by 52.1% during the 1st quarter. Roxbury Financial LLC now owns 587 shares of the footwear maker's stock worth $37,000 after buying an additional 201 shares during the period. N.E.W. Advisory Services LLC bought a new position in NIKE during the 1st quarter worth $37,000. Putney Financial Group LLC bought a new position in NIKE during the 4th quarter worth $40,000. Finally, Minot DeBlois Advisors LLC bought a new position in NIKE during the 4th quarter worth $42,000. Institutional investors own 64.25% of the company's stock.

Analyst Ratings Changes

Several research analysts have weighed in on the company. HSBC upgraded NIKE from a "hold" rating to a "buy" rating and set a $80.00 price objective on the stock in a research report on Friday, June 27th. UBS Group initiated coverage on NIKE in a research report on Sunday, July 6th. They issued a "buy" rating on the stock. Truist Financial decreased their price target on NIKE from $82.00 to $73.00 and set a "buy" rating on the stock in a research report on Tuesday, June 24th. Williams Trading decreased their price target on NIKE from $93.00 to $73.00 and set a "buy" rating on the stock in a research report on Monday, April 21st. Finally, Telsey Advisory Group restated a "market perform" rating and issued a $70.00 price target on shares of NIKE in a research report on Friday, June 27th. One equities research analyst has rated the stock with a sell rating, twelve have issued a hold rating, seventeen have issued a buy rating and three have given a strong buy rating to the company's stock. According to data from MarketBeat, the company presently has a consensus rating of "Moderate Buy" and an average target price of $78.22.

NIKE Trading Up 1.2%

Shares of NKE stock traded up $0.89 during mid-day trading on Tuesday, reaching $74.91. 6,397,175 shares of the stock traded hands, compared to its average volume of 10,926,941. NIKE, Inc. has a 1-year low of $52.28 and a 1-year high of $90.62. The company has a quick ratio of 1.50, a current ratio of 2.21 and a debt-to-equity ratio of 0.60. The company has a market cap of $110.63 billion, a price-to-earnings ratio of 34.68, a price-to-earnings-growth ratio of 2.69 and a beta of 1.27. The stock's fifty day simple moving average is $70.20 and its two-hundred day simple moving average is $67.60.

NIKE (NYSE:NKE - Get Free Report) last issued its quarterly earnings data on Thursday, June 26th. The footwear maker reported $0.14 earnings per share (EPS) for the quarter, topping analysts' consensus estimates of $0.12 by $0.02. NIKE had a return on equity of 23.33% and a net margin of 6.95%. The company had revenue of $11.10 billion during the quarter, compared to the consensus estimate of $10.69 billion. During the same period last year, the company earned $0.99 earnings per share. The firm's revenue was down 11.9% compared to the same quarter last year. On average, research analysts anticipate that NIKE, Inc. will post 2.05 EPS for the current fiscal year.

NIKE Announces Dividend

The business also recently disclosed a quarterly dividend, which will be paid on Wednesday, October 1st. Stockholders of record on Tuesday, September 2nd will be given a dividend of $0.40 per share. This represents a $1.60 dividend on an annualized basis and a dividend yield of 2.1%. The ex-dividend date is Tuesday, September 2nd. NIKE's dividend payout ratio (DPR) is 74.07%.

Insider Activity

In other news, Chairman Mark G. Parker sold 110,000 shares of the firm's stock in a transaction dated Wednesday, July 16th. The stock was sold at an average price of $72.29, for a total transaction of $7,951,900.00. Following the completion of the transaction, the chairman directly owned 842,361 shares in the company, valued at $60,894,276.69. This trade represents a 11.55% decrease in their ownership of the stock. The sale was disclosed in a legal filing with the Securities & Exchange Commission, which is available through the SEC website. 0.80% of the stock is owned by company insiders.

NIKE Company Profile

NIKE, Inc, together with its subsidiaries, designs, develops, markets, and sells athletic footwear, apparel, equipment, accessories, and services worldwide. The company provides athletic and casual footwear, apparel, and accessories under the Jumpman trademark; and casual sneakers, apparel, and accessories under the Converse, Chuck Taylor, All Star, One Star, Star Chevron, and Jack Purcell trademarks.