NIKE, Inc. $NKE Shares Sold by Madison Asset Management LLC

Key Points

• Madison Asset Management LLC cut its NIKE stake by 67.7% in the fourth quarter, selling 433,398 shares and leaving it with 207,225 shares valued at about $13.2 million.
• Analysts have turned more cautious on NIKE, with several firms lowering price targets and the stock now carrying an average Hold rating and consensus target of $62.04.
• NIKE’s latest results topped EPS and revenue estimates, but the company’s shares were trading near their 52-week low around $42.37, while insiders including the CEO and a director recently bought shares.

Madison Asset Management LLC lessened its stake in shares of NIKE, Inc. (NYSE:NKE - Free Report) by 67.7% in the 4th quarter, according to the company in its most recent filing with the Securities & Exchange Commission. The fund owned 207,225 shares of the footwear maker's stock after selling 433,398 shares during the period. Madison Asset Management LLC's holdings in NIKE were worth $13,202,000 as of its most recent filing with the Securities & Exchange Commission.

Several other hedge funds have also recently modified their holdings of NKE. Guerra Advisors Inc acquired a new position in shares of NIKE during the 3rd quarter worth about $34,000. Gordian Capital Singapore Pte Ltd acquired a new position in shares of NIKE during the 3rd quarter worth about $35,000. Accredited Wealth Management LLC raised its position in shares of NIKE by 268.6% during the 3rd quarter. Accredited Wealth Management LLC now owns 516 shares of the footwear maker's stock worth $36,000 after purchasing an additional 376 shares during the last quarter. Matrix Trust Co raised its position in shares of NIKE by 43.6% during the 4th quarter. Matrix Trust Co now owns 596 shares of the footwear maker's stock worth $38,000 after purchasing an additional 181 shares during the last quarter. Finally, Ares Financial Consulting LLC acquired a new position in shares of NIKE during the 4th quarter worth about $40,000. Institutional investors and hedge funds own 64.25% of the company's stock.

Analyst Upgrades and Downgrades

NKE has been the subject of several research analyst reports. Telsey Advisory Group reduced their price target on shares of NIKE from $65.00 to $55.00 and set a "market perform" rating for the company in a research report on Wednesday, April 1st. UBS Group reduced their price target on shares of NIKE from $58.00 to $54.00 and set a "neutral" rating for the company in a research report on Wednesday, April 1st. Evercore reduced their price target on shares of NIKE from $69.00 to $57.00 and set an "outperform" rating for the company in a research report on Wednesday, April 1st. KeyCorp reduced their price target on shares of NIKE from $90.00 to $75.00 and set an "overweight" rating for the company in a research report on Thursday, January 22nd. Finally, Weiss Ratings downgraded shares of NIKE from a "sell (d+)" rating to a "sell (d)" rating in a report on Monday, May 4th. Sixteen investment analysts have rated the stock with a Buy rating, eighteen have assigned a Hold rating and two have assigned a Sell rating to the company's stock. Based on data from MarketBeat, NIKE currently has an average rating of "Hold" and a consensus target price of $62.04.

Insider Activity at NIKE

In related news, Director John W. Rogers, Jr. acquired 4,000 shares of the stock in a transaction that occurred on Thursday, April 9th. The stock was purchased at an average price of $43.34 per share, with a total value of $173,360.00. Following the transaction, the director owned 41,022 shares of the company's stock, valued at approximately $1,777,893.48. This trade represents a 10.80% increase in their position. The acquisition was disclosed in a filing with the SEC, which is available at the SEC website. Also, CEO Elliott Hill acquired 23,660 shares of the stock in a transaction that occurred on Monday, April 13th. The shares were bought at an average cost of $42.27 per share, with a total value of $1,000,108.20. Following the transaction, the chief executive officer directly owned 265,247 shares in the company, valued at $11,211,990.69. This trade represents a 9.79% increase in their position. The disclosure for this purchase is available in the SEC filing. Over the last 90 days, insiders bought 64,441 shares of company stock worth $2,734,204. Company insiders own 0.80% of the company's stock.

NIKE Stock Performance

NIKE stock opened at $42.37 on Thursday. The firm has a 50 day simple moving average of $48.58 and a 200-day simple moving average of $58.41. NIKE, Inc. has a 1-year low of $41.70 and a 1-year high of $80.17. The company has a debt-to-equity ratio of 0.50, a current ratio of 2.14 and a quick ratio of 1.45. The stock has a market cap of $62.74 billion, a price-to-earnings ratio of 28.06, a price-to-earnings-growth ratio of 2.25 and a beta of 1.12.

NIKE (NYSE:NKE - Get Free Report) last posted its quarterly earnings results on Tuesday, March 31st. The footwear maker reported $0.35 earnings per share for the quarter, beating the consensus estimate of $0.29 by $0.06. NIKE had a net margin of 4.84% and a return on equity of 16.41%. The business had revenue of $11.28 billion during the quarter, compared to analysts' expectations of $11.23 billion. During the same quarter in the prior year, the company posted $0.54 EPS. The business's revenue for the quarter was up .1% on a year-over-year basis. On average, analysts expect that NIKE, Inc. will post 1.51 EPS for the current year.

NIKE Dividend Announcement

The company also recently declared a quarterly dividend, which will be paid on Wednesday, July 1st. Stockholders of record on Monday, June 1st will be paid a $0.41 dividend. The ex-dividend date of this dividend is Monday, June 1st. This represents a $1.64 annualized dividend and a dividend yield of 3.9%. NIKE's dividend payout ratio is 108.61%.

Trending Headlines about NIKE

Here are the key news stories impacting NIKE this week:

• Negative Sentiment: Multiple reports highlight a steep year-to-date selloff, with investors worried about NIKE’s weak guidance, fading growth momentum, and the stock hitting a 12-year low. Nike freefall hits 12-year low: 3 forces behind $20 YTD wipeout & weak guidance
• Negative Sentiment: Analysts and commentary point to profit-margin pressure, with one report saying NIKE’s margins fell 34%, reinforcing concerns that pricing, costs, and promotions are hurting profitability. Nike's Profit Margins Fell 34%. Here's What Investors Need to Know Before Buying the Dip.
• Negative Sentiment: NIKE’s CEO said the turnaround still needs more time, which may temper hopes for a quick rebound and suggest operational improvements are not yet fully visible in the numbers. Why Nike CEO said the company's turnaround needs more time
• Negative Sentiment: Competition is also a concern, as On Holding reported strong results and double-digit China growth, underscoring that Nike is losing momentum in key growth markets and categories. On Holding beats first-quarter expectations, sees double-digit growth in China as Nike lags
• Neutral Sentiment: State Street disclosed a passive 5% stake in NIKE, which signals continued institutional interest, but the filing was overshadowed by tariff-related legal uncertainty and does not by itself change the near-term outlook. State Street Takes 5% Nike Stake As Tariff Lawsuits Cloud Outlook
• Neutral Sentiment: There is also some potential macro support if China tariffs ease, which could help consumer demand and Nike’s sourcing costs, but this is still more of a possible tailwind than a confirmed catalyst. Which of These 5 Companies Benefits Most From Easing China Tariffs?

NIKE Profile

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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