63,398 NIKE, Inc. $NKE Shares Sold by TD Waterhouse Canada Inc.

Key Points

• TD Waterhouse Canada reduced its NIKE position by 16.2%, selling 63,398 shares and retaining 326,785 shares valued at approximately $11.5 million. Institutional investors and hedge funds collectively own 64.25% of NIKE.
• NIKE’s latest quarter showed mixed results: earnings per share beat estimates at $0.48, but revenue fell 4.3% year over year to $11.21 billion. The company’s $1.64 annual dividend provides a 4.4% yield, though its 78.85% payout ratio raises sustainability concerns.
• Analyst sentiment remains cautious, with a consensus “Reduce” rating and an average price target of $41.07. While Jordan resale demand and expansion in India offer potential growth, declining sales, China weakness, distribution challenges and restructuring concerns continue to weigh on the outlook.

TD Waterhouse Canada Inc. trimmed its position in NIKE, Inc. (NYSE:NKE - Free Report) by 16.2% during the third quarter, according to the company in its most recent disclosure with the Securities and Exchange Commission (SEC). The institutional investor owned 326,785 shares of the footwear maker's stock after selling 63,398 shares during the period. TD Waterhouse Canada Inc.'s holdings in NIKE were worth $11,463,000 at the end of the most recent quarter.

Several other institutional investors and hedge funds also recently modified their holdings of NKE. OneDigital Investment Advisors LLC boosted its holdings in shares of NIKE by 32.8% in the 2nd quarter. OneDigital Investment Advisors LLC now owns 244,296 shares of the footwear maker's stock valued at $10,028,000 after buying an additional 60,375 shares during the last quarter. Douglas Lane & Associates LLC grew its stake in shares of NIKE by 57.7% in the third quarter. Douglas Lane & Associates LLC now owns 1,521,611 shares of the footwear maker's stock valued at $53,865,000 after buying an additional 556,798 shares in the last quarter. B.A. Schrock Wealth Management Inc. acquired a new position in NIKE during the third quarter worth $1,153,000. Quantitative Investment Management LLC acquired a new position in NIKE during the second quarter worth $2,459,000. Finally, Deutsche Bank AG raised its position in NIKE by 8.0% during the second quarter. Deutsche Bank AG now owns 3,566,634 shares of the footwear maker's stock worth $146,410,000 after acquiring an additional 264,576 shares in the last quarter. 64.25% of the stock is owned by institutional investors and hedge funds.

NIKE News Roundup

Here are the key news stories impacting NIKE this week:

• Positive Sentiment: Jordan is gaining traction in resale markets. Citi-tracked data showed Nike held 72.3% of athletic-footwear resale volume in September, up from August, with the Jordan brand responsible for most of the improvement. This suggests continued consumer demand for key franchises. Jordan is driving Nike's resale volume growth
• Positive Sentiment: India represents a long-term growth opportunity. Nike is expanding its India presence with a new campus as it seeks to diversify growth beyond weaker markets, particularly China. Investors may view the move as a potential structural growth driver, although the payoff is likely several years away. Nike's India campus is a long-term growth bet
• Neutral Sentiment: Investor flows have recently supported the stock. Nike has benefited from a rotation out of expensive technology and artificial-intelligence stocks into beaten-down consumer companies. Unusually high call-option activity also points to speculative interest, but these factors may not reflect improvement in Nike’s underlying fundamentals. Nike gets a lift as traders flee AI stocks
• Negative Sentiment: Wall Street remains cautious about the turnaround. Only about 26% of analysts reportedly rate Nike a Buy, amid concerns about declining global sales, especially in China. Management’s restructuring is intended to reduce costs and accelerate decisions, but it also underscores the depth of the company’s operating problems. Just 26% of Wall Street analysts rate Nike a Buy
• Negative Sentiment: Distribution and dividend concerns add pressure. Reports say Nike has not fully recovered shelf space lost after reducing its Foot Locker relationship. Separately, weakening sales and free cash flow that may not cover the dividend raise questions about the sustainability of Nike’s long record of payout increases. Nike walked away from Foot Locker

NIKE Stock Down 0.0%

NKE stock opened at $37.12 on Monday. The company has a current ratio of 2.07, a quick ratio of 1.39 and a debt-to-equity ratio of 0.39. The firm has a market capitalization of $55.13 billion, a PE ratio of 17.85, a PEG ratio of 4.19 and a beta of 1.09. NIKE, Inc. has a 1-year low of $31.97 and a 1-year high of $70.44. The business's 50 day simple moving average is $37.48 and its 200 day simple moving average is $41.56.

NIKE (NYSE:NKE - Get Free Report) last posted its quarterly earnings results on Thursday, October 1st. The footwear maker reported $0.48 earnings per share for the quarter, beating analysts' consensus estimates of $0.43 by $0.05. NIKE had a return on equity of 15.94% and a net margin of 6.74%. The business had revenue of $11.21 billion for the quarter, compared to analysts' expectations of $11.32 billion. During the same quarter in the prior year, the business earned $0.49 EPS. The firm's revenue for the quarter was down 4.3% on a year-over-year basis. NIKE has set its FY 2027 guidance at 1.150-1.350 EPS. As a group, research analysts anticipate that NIKE, Inc. will post 1.26 EPS for the current year.

NIKE Announces Dividend

The business also recently disclosed a quarterly dividend, which was paid on Thursday, October 1st. Shareholders of record on Tuesday, September 1st were issued a $0.41 dividend. This represents a $1.64 annualized dividend and a dividend yield of 4.4%. The ex-dividend date was Tuesday, September 1st. NIKE's payout ratio is currently 78.85%.

Wall Street Analysts Forecast Growth

A number of brokerages have commented on NKE. BNP Paribas Exane set a $19.00 price target on shares of NIKE and gave the company an "underperform" rating in a research note on Friday, October 2nd. Evercore decreased their price objective on shares of NIKE from $46.00 to $28.00 in a research report on Monday, September 28th. Jefferies Financial Group set a $60.00 price objective on shares of NIKE in a research note on Friday, October 2nd. HSBC dropped their target price on shares of NIKE from $48.00 to $40.00 and set a "hold" rating on the stock in a report on Monday, September 28th. Finally, JPMorgan Chase & Co. dropped their target price on shares of NIKE from $40.00 to $33.00 and set an "underweight" rating on the stock in a report on Friday, October 2nd. One analyst has rated the stock with a Strong Buy rating, seven have given a Buy rating, twenty-one have issued a Hold rating and ten have assigned a Sell rating to the company. According to data from MarketBeat, the stock has an average rating of "Reduce" and a consensus price target of $41.07.

Insider Activity at NIKE

In other news, EVP Philip McCartney sold 2,559 shares of the firm's stock in a transaction dated Wednesday, September 9th. The shares were sold at an average price of $37.59, for a total transaction of $96,192.81. Following the completion of the sale, the executive vice president owned 78,121 shares in the company, valued at approximately $2,936,568.39. This trade represents a 3.17% decrease in their position. The transaction was disclosed in a filing with the SEC, which can be accessed through this link. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, insider Amy Montagne sold 4,867 shares of NIKE stock in a transaction dated Friday, August 7th. The stock was sold at an average price of $42.05, for a total transaction of $204,657.35. Following the sale, the insider directly owned 57,436 shares of the company's stock, valued at $2,415,183.80. The trade was a 7.81% decrease in their position. Additional details regarding this sale are available in the official SEC disclosure. Insiders have sold 14,974 shares of company stock valued at $600,126 in the last ninety days. Company insiders own 1.10% of the company's stock.

NIKE Profile

NIKE, Inc is a global athletic footwear, apparel, equipment and accessories company headquartered near Beaverton, Oregon. The company designs, develops, markets and sells products under the Nike, Jordan and Converse brands, serving athletes and consumers across a broad range of sports and lifestyle categories.

NIKE's product portfolio includes athletic and casual footwear, performance and lifestyle apparel, sports equipment, accessories and digital fitness-related offerings. The company distributes its products through company-owned retail stores, digital platforms and wholesale partners, while also operating direct-to-consumer and membership programs.

The company traces its origins to 1964, when Phil Knight and Bill Bowerman founded Blue Ribbon Sports.

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