NIKE, Inc. $NKE Stock Position Decreased by Locust Wood Capital Advisers LLC

Key Points

• Locust Wood Capital Advisers cut its NIKE stake by 31.1% in the fourth quarter, selling 578,396 shares and leaving it with 1,282,705 shares valued at about $81.7 million.
• NIKE reported better-than-expected quarterly earnings, posting EPS of $0.35 versus estimates of $0.29 and revenue of $11.28 billion, slightly ahead of forecasts. However, revenue was nearly flat year over year and analysts still expect about $1.49 EPS for the current year.
• Analyst sentiment remains cautious: the stock has a consensus rating of Hold with an average price target of $62.04, while several firms recently lowered targets. NIKE also announced a quarterly dividend of $0.41 per share, implying a 3.8% annualized yield.

Locust Wood Capital Advisers LLC decreased its stake in NIKE, Inc. (NYSE:NKE - Free Report) by 31.1% in the fourth quarter, according to its most recent filing with the Securities & Exchange Commission. The firm owned 1,282,705 shares of the footwear maker's stock after selling 578,396 shares during the quarter. NIKE accounts for about 2.0% of Locust Wood Capital Advisers LLC's investment portfolio, making the stock its 23rd largest holding. Locust Wood Capital Advisers LLC owned 0.09% of NIKE worth $81,721,000 as of its most recent filing with the Securities & Exchange Commission.

Other institutional investors have also recently bought and sold shares of the company. Norges Bank acquired a new position in shares of NIKE in the fourth quarter worth about $829,956,000. Harris Associates L P acquired a new stake in shares of NIKE during the second quarter valued at approximately $621,525,000. Capital World Investors lifted its position in shares of NIKE by 16.2% in the 4th quarter. Capital World Investors now owns 49,069,951 shares of the footwear maker's stock valued at $3,126,246,000 after acquiring an additional 6,830,938 shares in the last quarter. Capital International Investors boosted its stake in NIKE by 83.3% in the 4th quarter. Capital International Investors now owns 7,642,382 shares of the footwear maker's stock worth $486,895,000 after purchasing an additional 3,472,515 shares during the period. Finally, Ameriprise Financial Inc. boosted its stake in NIKE by 129.4% in the 2nd quarter. Ameriprise Financial Inc. now owns 5,849,636 shares of the footwear maker's stock worth $411,951,000 after purchasing an additional 3,299,155 shares during the period. Hedge funds and other institutional investors own 64.25% of the company's stock.

Analysts Set New Price Targets

Several analysts have issued reports on the stock. Needham & Company LLC reissued a "hold" rating on shares of NIKE in a research note on Thursday. Stifel Nicolaus lowered their price target on NIKE from $65.00 to $56.00 and set a "hold" rating on the stock in a report on Wednesday, April 1st. Citigroup dropped their price target on NIKE from $65.00 to $53.00 and set a "neutral" rating on the stock in a research report on Wednesday, April 1st. BTIG Research decreased their target price on shares of NIKE from $90.00 to $75.00 and set a "buy" rating for the company in a research note on Wednesday, April 1st. Finally, Bank of America restated a "neutral" rating and set a $55.00 price target (down from $73.00) on shares of NIKE in a report on Wednesday, April 1st. Sixteen investment analysts have rated the stock with a Buy rating, seventeen have given a Hold rating and three have assigned a Sell rating to the company. Based on data from MarketBeat.com, the company has a consensus rating of "Hold" and an average price target of $62.04.

NIKE Stock Up 0.2%

Shares of NKE stock opened at $43.05 on Monday. NIKE, Inc. has a 12 month low of $41.35 and a 12 month high of $80.17. The company has a quick ratio of 1.45, a current ratio of 2.14 and a debt-to-equity ratio of 0.50. The firm has a market cap of $63.75 billion, a PE ratio of 28.51, a price-to-earnings-growth ratio of 1.86 and a beta of 1.12. The stock has a 50 day moving average of $44.85 and a 200-day moving average of $56.03.

NIKE (NYSE:NKE - Get Free Report) last issued its earnings results on Tuesday, March 31st. The footwear maker reported $0.35 EPS for the quarter, beating analysts' consensus estimates of $0.29 by $0.06. NIKE had a return on equity of 16.41% and a net margin of 4.84%.The business had revenue of $11.28 billion during the quarter, compared to analyst estimates of $11.23 billion. During the same period in the prior year, the company posted $0.54 earnings per share. NIKE's revenue was up .1% on a year-over-year basis. On average, equities analysts predict that NIKE, Inc. will post 1.49 EPS for the current year.

NIKE Dividend Announcement

The business also recently disclosed a quarterly dividend, which will be paid on Wednesday, July 1st. Investors of record on Monday, June 1st will be paid a dividend of $0.41 per share. The ex-dividend date of this dividend is Monday, June 1st. This represents a $1.64 dividend on an annualized basis and a dividend yield of 3.8%. NIKE's payout ratio is 108.61%.

Insider Buying and Selling

In other NIKE news, Director Robert Holmes Swan purchased 11,781 shares of the firm's stock in a transaction on Tuesday, April 7th. The stock was acquired at an average price of $42.44 per share, for a total transaction of $499,985.64. Following the purchase, the director owned 55,074 shares of the company's stock, valued at $2,337,340.56. This trade represents a 27.21% increase in their position. The purchase was disclosed in a filing with the SEC, which can be accessed through this hyperlink. Also, Director Timothy D. Cook purchased 25,000 shares of the company's stock in a transaction that occurred on Friday, April 10th. The stock was acquired at an average cost of $42.43 per share, for a total transaction of $1,060,750.00. Following the transaction, the director owned 130,480 shares in the company, valued at $5,536,266.40. This represents a 23.70% increase in their position. Additional details regarding this purchase are available in the official SEC disclosure. In the last quarter, insiders purchased 64,441 shares of company stock valued at $2,734,204. Insiders own 0.80% of the company's stock.

Key Stories Impacting NIKE

Here are the key news stories impacting NIKE this week:

• Positive Sentiment: NIKE is leaning into its football business ahead of the World Cup, and analysts said the company’s investor event reinforced CEO Elliott Hill’s plan to rebuild the brand sport by sport and region by region. That could support the long-term turnaround narrative. Nike bets big on Beautiful Game ahead of World Cup
• Positive Sentiment: Investor interest in NIKE remains elevated, with recent coverage highlighting that the stock is still drawing attention from market watchers as they evaluate the company’s outlook and earnings trajectory. NIKE, Inc. (NKE) is Attracting Investor Attention: Here is What You Should Know
• Positive Sentiment: NIKE continues to push a high-profile marketing campaign, “Rip The Script,” featuring major athletes and celebrities, which may help brand visibility and demand heading into a key sports calendar. NKE Stock Eyes Red Week Ahead Of FIFA World Cup: Nike’s Star-Studded Campaign Can’t Stop It From Falling
• Neutral Sentiment: Several articles focused on shifting investor narratives and watched-the-stock commentary, but no new price target or major fundamental update was announced, limiting the immediate catalyst. How The Narrative Around Nike (NKE) Is Evolving Without A New Price Target
• Neutral Sentiment: Commentary on a possible legal inquiry about insider duties did not provide clear evidence of wrongdoing, so it is more of a headline risk than a confirmed stock-moving event. Did NIKE, Inc. Insiders Breach their Fiduciary Duties to Shareholders?
• Negative Sentiment: Some coverage suggests NIKE still faces questions about regaining momentum in a changing consumer market, while the stock has also been pressured by broader concerns that the turnaround may take time. Can Nike Regain Momentum In A Changing Consumer Market?
• Negative Sentiment: Market chatter also highlights a “red week” narrative ahead of the FIFA World Cup, implying investors remain skeptical that NIKE’s ad campaign alone will quickly reverse the stock’s weakness. Curry Defection And World Cup Push Test Nike Turnaround Expectations

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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