NIKE, Inc. $NKE Shares Acquired by Empowered Funds LLC

Key Points

• Empowered Funds LLC increased its NIKE position by 82.3% in the second quarter, buying 86,352 additional shares to reach 191,312 shares valued at $7.85 million. Institutional investors and hedge funds collectively own 64.25% of NKE.
• NIKE’s latest earnings beat estimates, with quarterly EPS of $0.20 and revenue of $10.97 billion, but revenue declined 1.1% year over year. The stock remains near its 12-month low, and analysts maintain a consensus “Hold” rating with an average price target of $52.94.
• The company faces ongoing challenges in China, weak consumer demand, excess inventory and concerns about product innovation, though it is pursuing a turnaround through new leadership and an extended Brazil distribution agreement. NIKE also declared a quarterly dividend of $0.41 per share, representing a 4.1% annualized yield.

Empowered Funds LLC boosted its position in NIKE, Inc. (NYSE:NKE - Free Report) by 82.3% in the 2nd quarter, according to its most recent filing with the Securities and Exchange Commission (SEC). The institutional investor owned 191,312 shares of the footwear maker's stock after purchasing an additional 86,352 shares during the period. Empowered Funds LLC's holdings in NIKE were worth $7,853,000 as of its most recent SEC filing.

Several other hedge funds and other institutional investors have also recently bought and sold shares of NKE. Formula Growth Ltd. purchased a new stake in NIKE during the second quarter worth $616,000. Jefferies Financial Group Inc. increased its position in shares of NIKE by 428.1% in the second quarter. Jefferies Financial Group Inc. now owns 160,753 shares of the footwear maker's stock valued at $6,599,000 after buying an additional 130,315 shares in the last quarter. MASTERINVEST Kapitalanlage GmbH raised its stake in shares of NIKE by 32.7% during the 2nd quarter. MASTERINVEST Kapitalanlage GmbH now owns 55,601 shares of the footwear maker's stock worth $2,282,000 after buying an additional 13,701 shares during the last quarter. One68 Global Capital LLC raised its stake in shares of NIKE by 112.5% during the 2nd quarter. One68 Global Capital LLC now owns 8,500 shares of the footwear maker's stock worth $349,000 after buying an additional 4,500 shares during the last quarter. Finally, Redwood Investment Management LLC purchased a new stake in shares of NIKE in the 2nd quarter worth about $698,000. 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: Traders purchased 182,729 NKE call options, 59% above typical daily call volume. The activity may reflect increased bullish speculation, although options positioning does not guarantee sustained buying in the shares.
• Positive Sentiment: Grupo SBF extended its exclusive Nike distribution agreement in Brazil through 2034. The longer arrangement provides continued access to an important Latin American market and supports Nike’s regional distribution network. Grupo SBF Extends Exclusive Nike Distribution Deal in Brazil to 2034
• Neutral Sentiment: NIKE said it will release fiscal first-quarter 2027 results on October 1 after the market close, followed by a management conference call. Investors will look for evidence that the company’s turnaround is improving sales, inventory levels and margins. NIKE Announces First Quarter Fiscal 2027 Earnings and Conference Call
• Neutral Sentiment: NIKE appointed Walmart veteran Jane Ewing as chief commercial officer to help lead its comeback. The hire could strengthen execution and retail strategy, but investors are likely to want measurable results before assigning significant value to the turnaround. Nike Taps Walmart Veteran to Help Drive Comeback
• Negative Sentiment: Reports say Nike’s China business continues to shrink as domestic competitors gain market share and the brand struggles to remain locally relevant. China weakness threatens a key source of long-term growth. Why America’s Biggest Brands Keep Losing in China
• Negative Sentiment: Analysts and market commentary continue to cite soft consumer confidence, weaker traffic, excess legacy inventory and doubts about product innovation. These concerns reinforce expectations for a prolonged recovery and have contributed to reduced price targets and bearish sentiment.

NIKE Stock Down 0.1%

NKE opened at $39.57 on Monday. NIKE, Inc. has a 12 month low of $38.17 and a 12 month high of $79.13. The business has a 50-day moving average of $41.91 and a two-hundred day moving average of $47.01. The company has a debt-to-equity ratio of 0.40, a current ratio of 1.96 and a quick ratio of 1.36. The stock has a market capitalization of $58.70 billion, a price-to-earnings ratio of 18.93, a price-to-earnings-growth ratio of 1.76 and a beta of 1.11.

NIKE (NYSE:NKE - Get Free Report) last posted its quarterly earnings results on Tuesday, June 30th. The footwear maker reported $0.20 earnings per share for the quarter, topping analysts' consensus estimates of $0.11 by $0.09. The company had revenue of $10.97 billion for the quarter, compared to the consensus estimate of $10.85 billion. NIKE had a net margin of 6.70% and a return on equity of 16.54%. NIKE's revenue was down 1.1% on a year-over-year basis. During the same quarter last year, the firm posted $0.14 earnings per share. On average, research analysts expect that NIKE, Inc. will post 1.74 earnings per share for the current year.

NIKE Announces Dividend

The company also recently declared a quarterly dividend, which will be paid on Thursday, October 1st. Shareholders of record on Tuesday, September 1st will be given a dividend of $0.41 per share. This represents a $1.64 dividend on an annualized basis and a yield of 4.1%. The ex-dividend date of this dividend is Tuesday, September 1st. NIKE's payout ratio is 78.47%.

Insider Transactions at NIKE

In other NIKE news, COO Venkatesh Alagirisamy sold 890 shares of the company's stock in a transaction dated Wednesday, August 5th. The stock was sold at an average price of $41.60, for a total transaction of $37,024.00. Following the completion of the sale, the chief operating officer directly owned 74,820 shares in the company, valued at $3,112,512. This represents a 1.18% decrease in their ownership of the stock. The sale was disclosed in a legal filing with the SEC, which is available through this hyperlink. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, EVP Philip Mccartney sold 17,398 shares of the stock in a transaction that occurred on Friday, June 12th. The stock was sold at an average price of $46.18, for a total transaction of $803,439.64. Following 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. Additional details regarding this sale are available in the official SEC disclosure. 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. Insiders sold a total of 26,142 shares of company stock worth $1,169,380 in the last three months. 1.10% of the stock is currently owned by insiders.

Analyst Upgrades and Downgrades

Several equities analysts have weighed in on the stock. Deutsche Bank Aktiengesellschaft raised their target price on shares of NIKE from $43.00 to $45.00 and gave the company a "hold" rating in a report on Friday, July 17th. Weiss Ratings raised shares of NIKE from a "sell (d)" rating to a "sell (d+)" rating in a report on Friday, July 17th. Piper Sandler lowered their price target on shares of NIKE from $50.00 to $45.00 and set a "neutral" rating on the stock in a research report on Wednesday, July 1st. Zacks Research raised NIKE from a "strong sell" rating to a "hold" rating in a research report on Wednesday, August 19th. Finally, Barclays decreased their price objective on NIKE from $67.00 to $52.00 and set an "overweight" rating on the stock in a research note on Wednesday, July 1st. One investment analyst has rated the stock with a Strong Buy rating, twelve have assigned a Buy rating, twenty have assigned a Hold rating and four have issued a Sell rating to the company. Based on data from MarketBeat, the company currently has a consensus rating of "Hold" and an average target price of $52.94.

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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