Morningstar Investment Management LLC Purchases New Position in NIKE, Inc. $NKE

Key Points

• Morningstar Investment Management LLC acquired a new position in NIKE, purchasing 9,621 shares valued at approximately $683,000 in the second quarter.
• Recent insider activity indicates that NIKE's Chairman sold 110,000 shares for nearly $8 million, representing an 11.55% decrease in his ownership.
• NIKE reported $0.49 earnings per share for the last quarter, exceeding expectations and showing a slight year-over-year revenue increase of 1.0% to $11.72 billion.

Morningstar Investment Management LLC purchased a new stake in shares of NIKE, Inc. (NYSE:NKE - Free Report) in the second quarter, according to its most recent Form 13F filing with the Securities & Exchange Commission. The institutional investor purchased 9,621 shares of the footwear maker's stock, valued at approximately $683,000.

A number of other hedge funds and other institutional investors also recently added to or reduced their stakes in NKE. Stone House Investment Management LLC bought a new position in NIKE during the first quarter valued at approximately $25,000. Mascoma Wealth Management LLC purchased a new stake in NIKE during the second quarter valued at approximately $26,000. Halbert Hargrove Global Advisors LLC raised its position in NIKE by 952.6% during the second quarter. Halbert Hargrove Global Advisors LLC now owns 400 shares of the footwear maker's stock valued at $28,000 after purchasing an additional 362 shares during the period. Saudi Central Bank purchased a new stake in NIKE during the first quarter valued at approximately $30,000. Finally, Matrix Trust Co raised its position in NIKE by 53.1% during the second quarter. Matrix Trust Co now owns 441 shares of the footwear maker's stock valued at $31,000 after purchasing an additional 153 shares during the period. 64.25% of the stock is owned by institutional investors.

Insider Activity at NIKE

In related news, Chairman Mark G. Parker sold 110,000 shares of the stock in a transaction that occurred on Wednesday, July 16th. The stock was sold at an average price of $72.29, for a total value of $7,951,900.00. Following the transaction, the chairman owned 842,361 shares of the company's stock, valued at $60,894,276.69. This represents a 11.55% decrease in their ownership of the stock. The sale was disclosed in a document filed with the Securities & Exchange Commission, which is available through the SEC website. Also, EVP Treasure Heinle sold 4,300 shares of the stock in a transaction that occurred on Monday, October 6th. The stock was sold at an average price of $71.27, for a total value of $306,461.00. Following the completion of the transaction, the executive vice president directly owned 29,396 shares in the company, valued at approximately $2,095,052.92. This trade represents a 12.76% decrease in their position. The disclosure for this sale can be found here. In the last three months, insiders sold 200,378 shares of company stock worth $14,794,264. 0.80% of the stock is owned by insiders.

Analyst Upgrades and Downgrades

NKE has been the topic of a number of recent research reports. Needham & Company LLC restated a "buy" rating and set a $78.00 price objective on shares of NIKE in a research report on Wednesday, October 1st. Evercore ISI decreased their price objective on NIKE from $97.00 to $75.00 and set an "outperform" rating on the stock in a research report on Tuesday, June 24th. Robert W. Baird upped their price objective on NIKE from $80.00 to $88.00 and gave the company an "outperform" rating in a research report on Friday, June 27th. Piper Sandler set a $84.00 price objective on NIKE and gave the company an "overweight" rating in a research report on Wednesday, October 1st. Finally, Argus upgraded NIKE to a "buy" rating in a report on Sunday, July 6th. Three equities research analysts have rated the stock with a Strong Buy rating, twenty-four have assigned a Buy rating and eight have assigned a Hold rating to the company's stock. Based on data from MarketBeat, NIKE has a consensus rating of "Moderate Buy" and a consensus price target of $81.57.

NIKE Trading Up 3.3%

Shares of NYSE NKE opened at $67.39 on Tuesday. The company has a debt-to-equity ratio of 0.59, a quick ratio of 1.45 and a current ratio of 2.19. The business's 50 day moving average price is $73.66 and its 200-day moving average price is $67.33. NIKE, Inc. has a fifty-two week low of $52.28 and a fifty-two week high of $84.76. The company has a market cap of $99.61 billion, a price-to-earnings ratio of 34.56, a PEG ratio of 2.38 and a beta of 1.29.

NIKE (NYSE:NKE - Get Free Report) last issued its quarterly earnings results on Tuesday, September 30th. The footwear maker reported $0.49 earnings per share for the quarter, topping the consensus estimate of $0.27 by $0.22. NIKE had a return on equity of 21.16% and a net margin of 6.23%.The firm had revenue of $11.72 billion for the quarter, compared to the consensus estimate of $10.96 billion. During the same period in the prior year, the business posted $0.70 earnings per share. The company's revenue for the quarter was up 1.0% on a year-over-year basis. On average, sell-side analysts expect that NIKE, Inc. will post 2.05 earnings per share for the current year.

NIKE Dividend Announcement

The company also recently disclosed a quarterly dividend, which was paid on Wednesday, October 1st. Investors of record on Tuesday, September 2nd were paid a $0.40 dividend. The ex-dividend date of this dividend was Tuesday, September 2nd. This represents a $1.60 annualized dividend and a yield of 2.4%. NIKE's dividend payout ratio is 82.05%.

About NIKE

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.

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