NIKE, Inc. $NKE Stock: Banque Pictet & Cie SA Trims Position

Key Points

• Banque Pictet & Cie SA cut its NIKE position by 56.6% in the third quarter, selling 30,171 shares and retaining 23,097 shares valued at approximately $818,000.
• Institutional sentiment was mixed: several large investors increased their holdings, while hedge funds and other institutions collectively owned 64.25% of NIKE’s stock.
• Wall Street remains cautious, with MarketBeat reporting an average “Reduce” rating and a $41.07 price target. NIKE’s latest quarterly earnings beat EPS expectations, but revenue fell 4.3% year over year, while the stock traded near $37.12 and offered a 4.4% dividend yield.

Banque Pictet & Cie SA decreased its position in NIKE, Inc. (NYSE:NKE - Free Report) by 56.6% in the third quarter, according to its most recent 13F filing with the SEC. The firm owned 23,097 shares of the footwear maker's stock after selling 30,171 shares during the period. Banque Pictet & Cie SA's holdings in NIKE were worth $818,000 at the end of the most recent reporting period.

Several other institutional investors and hedge funds have also recently added to or reduced their stakes in NKE. State Street Corp lifted its stake in NIKE by 6.8% in the 2nd quarter. State Street Corp now owns 63,598,789 shares of the footwear maker's stock worth $2,636,104,000 after acquiring an additional 4,052,428 shares in the last quarter. Flossbach Von Storch SE purchased a new position in NIKE during the 2nd quarter valued at about $488,714,000. Amundi grew its stake in NIKE by 59.4% during the 2nd quarter. Amundi now owns 6,460,398 shares of the footwear maker's stock valued at $265,199,000 after acquiring an additional 2,406,609 shares in the last quarter. Van ECK Associates Corp grew its stake in NIKE by 4.8% during the 2nd quarter. Van ECK Associates Corp now owns 6,257,863 shares of the footwear maker's stock valued at $256,885,000 after acquiring an additional 286,395 shares in the last quarter. Finally, Assenagon Asset Management S.A. grew its stake in NIKE by 92.3% during the 3rd quarter. Assenagon Asset Management S.A. now owns 4,789,274 shares of the footwear maker's stock valued at $169,540,000 after acquiring an additional 2,298,400 shares in the last quarter. 64.25% of the stock is currently owned by hedge funds and other institutional investors.

Wall Street Analyst Weigh In

A number of research firms have recently issued reports on NKE. Citigroup reduced their price target on shares of NIKE from $39.00 to $32.00 and set a "neutral" rating for the company in a research report on Friday, October 2nd. Telsey Advisory Group set a $35.00 price target on shares of NIKE and gave the stock a "market perform" rating in a report on Friday, October 2nd. Sanford C. Bernstein reaffirmed an "outperform" rating and set a $45.00 price objective on shares of NIKE in a research report on Friday, October 2nd. UBS Group reaffirmed a "neutral" rating and set a $34.00 price objective (down from $42.00) on shares of NIKE in a research report on Friday, October 2nd. Finally, Argus upgraded shares of NIKE to a "strong-buy" rating in a research note on Wednesday, July 15th. One equities research analyst has rated the stock with a Strong Buy rating, seven have given a Buy rating, twenty-one have given a Hold rating and ten have issued a Sell rating to the company. According to data from MarketBeat, the company has an average rating of "Reduce" and an average target price of $41.07.

NIKE Stock Performance

NKE stock opened at $37.12 on Monday. The company has a quick ratio of 1.39, a current ratio of 2.07 and a debt-to-equity ratio of 0.39. The company has a market capitalization of $55.13 billion, a price-to-earnings ratio of 17.85, a P/E/G ratio of 4.19 and a beta of 1.09. NIKE, Inc. has a 12 month low of $31.97 and a 12 month high of $70.44. The firm has a 50 day moving average of $37.48 and a two-hundred day moving average of $41.56.

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

NIKE Announces Dividend

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

Insider Buying and Selling

In other news, insider Amy Montagne sold 4,867 shares of NIKE stock in a transaction that occurred on Friday, August 7th. The shares were sold at an average price of $42.05, for a total value of $204,657.35. Following the transaction, the insider owned 57,436 shares of the company's stock, valued at $2,415,183.80. This trade represents a 7.81% decrease in their ownership of the stock. The transaction was disclosed in a document filed with the SEC, which can be accessed through this hyperlink. Also, COO Venkatesh Alagirisamy sold 3,671 shares of NIKE stock in a transaction that occurred on Wednesday, September 9th. The shares were sold at an average price of $37.59, for a total transaction of $137,992.89. Following the completion of the transaction, the chief operating officer directly owned 104,862 shares in the company, valued at approximately $3,941,762.58. This represents a 3.38% decrease in their position. The disclosure for this sale is available in the SEC filing. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. In the last three months, insiders have sold 14,974 shares of company stock worth $600,126. 1.10% of the stock is currently owned by company insiders.

NIKE News Summary

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 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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