California Public Employees Retirement System Cuts Stock Position in NIKE, Inc. $NKE

Key Points

• California Public Employees Retirement System reduced its NIKE stake by 21.4% in the first quarter, selling 491,839 shares and leaving it with about 1.81 million shares worth roughly $95.5 million.
• NIKE reported better-than-expected quarterly earnings of $0.20 per share versus $0.11 expected, with revenue of $10.97 billion, though sales still slipped 1.1% year over year.
• Analysts remain cautious: several firms cut price targets or kept neutral/hold ratings, and NIKE’s consensus rating is currently Hold with an average target price of $54.80.

California Public Employees Retirement System cut its position in shares of NIKE, Inc. (NYSE:NKE - Free Report) by 21.4% during the 1st quarter, according to its most recent 13F filing with the Securities and Exchange Commission. The fund owned 1,807,340 shares of the footwear maker's stock after selling 491,839 shares during the quarter. California Public Employees Retirement System owned approximately 0.12% of NIKE worth $95,464,000 as of its most recent SEC filing.

A number of other institutional investors and hedge funds have also bought and sold shares of the business. Cornerstone Financial Management LLC bought a new stake in shares of NIKE in the 4th quarter valued at about $26,000. Sankala Group LLC bought a new position in NIKE during the 4th quarter worth approximately $26,000. J.Safra Asset Management Corp bought a new stake in NIKE in the fourth quarter valued at approximately $29,000. Kemnay Advisory Services Inc. bought a new stake in NIKE in the fourth quarter valued at approximately $30,000. Finally, Atlas Wealth LLC bought a new stake in NIKE in the first quarter valued at approximately $31,000. 64.25% of the stock is currently owned by institutional investors.

Insider Buying and Selling

In other news, EVP Philip Mccartney sold 17,398 shares of the firm's stock in a transaction dated Friday, June 12th. The shares were sold at an average price of $46.18, for a total value of $803,439.64. Following the completion of the sale, the executive vice president directly owned 53,133 shares of the company's stock, valued at approximately $2,453,681.94. This trade represents a 24.67% decrease in their position. The transaction was disclosed in a document filed with the SEC, which is accessible through the SEC website. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. The sale was made to cover tax withholding obligations related to the vesting of equity awards. Company insiders own 0.80% of the company's stock.

NIKE Price Performance

Shares of NKE stock opened at $43.78 on Monday. The company has a debt-to-equity ratio of 0.40, a quick ratio of 1.36 and a current ratio of 1.96. NIKE, Inc. has a fifty-two week low of $40.00 and a fifty-two week high of $80.17. The firm has a market cap of $64.83 billion, a P/E ratio of 20.95, a P/E/G ratio of 2.53 and a beta of 1.12. The business's 50 day moving average price is $43.67 and its 200-day moving average price is $51.79.

NIKE (NYSE:NKE - Get Free Report) last announced its earnings results on Tuesday, June 30th. The footwear maker reported $0.20 EPS for the quarter, beating analysts' consensus estimates of $0.11 by $0.09. NIKE had a return on equity of 16.54% and a net margin of 6.70%.The company had revenue of $10.97 billion during the quarter, compared to the consensus estimate of $10.85 billion. During the same quarter in the prior year, the company earned $0.14 earnings per share. The firm's revenue for the quarter was down 1.1% on a year-over-year basis. On average, equities research analysts anticipate that NIKE, Inc. will post 1.75 earnings per share for the current year.

NIKE Announces Dividend

The business also recently disclosed a quarterly dividend, which was paid on Wednesday, July 1st. Shareholders of record on Monday, June 1st were issued a $0.41 dividend. The ex-dividend date was Monday, June 1st. This represents a $1.64 annualized dividend and a yield of 3.7%. NIKE's dividend payout ratio is 78.47%.

Wall Street Analyst Weigh In

Several brokerages have recently issued reports on NKE. Royal Bank Of Canada restated a "neutral" rating on shares of NIKE in a report on Wednesday, July 1st. The Goldman Sachs Group lowered their price target on shares of NIKE from $46.00 to $42.00 and set a "neutral" rating for the company in a report on Wednesday, July 1st. Guggenheim reissued a "buy" rating and set a $60.00 price target (down from $74.00) on shares of NIKE in a research report on Wednesday, July 1st. Weiss Ratings raised shares of NIKE from a "sell (d)" rating to a "sell (d+)" rating in a report on Friday. Finally, Stifel Nicolaus set a $45.00 price objective on shares of NIKE and gave the company a "hold" rating in a research report on Wednesday, July 1st. One research analyst has rated the stock with a Strong Buy rating, thirteen have assigned a Buy rating, nineteen have assigned a Hold rating and three have issued a Sell rating to the company. According to data from MarketBeat.com, the company currently has an average rating of "Hold" and a consensus price target of $54.80.

About NIKE

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).

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