PineStone Asset Management Inc. Buys 221,900 Shares of NIKE, Inc. $NKE

Key Points

• PineStone Asset Management increased its NIKE stake by 13.5%, purchasing 221,900 shares to hold 1,867,235 shares worth about $119 million.
• NIKE beat Q3 estimates with revenue of $11.28 billion and EPS of $0.35 (vs. $0.32 consensus), but management highlighted continued weakness in China and margin/cash‑flow pressures.
• Analysts' consensus is a "Moderate Buy" with an average target of $73.20, and the company declared a $0.41 quarterly dividend (3.1% yield).

PineStone Asset Management Inc. grew its stake in shares of NIKE, Inc. (NYSE:NKE - Free Report) by 13.5% during the 4th quarter, according to its most recent Form 13F filing with the Securities and Exchange Commission. The firm owned 1,867,235 shares of the footwear maker's stock after purchasing an additional 221,900 shares during the period. NIKE makes up 0.7% of PineStone Asset Management Inc.'s investment portfolio, making the stock its 28th biggest holding. PineStone Asset Management Inc. owned about 0.13% of NIKE worth $118,962,000 as of its most recent filing with the Securities and Exchange Commission.

A number of other institutional investors and hedge funds also recently made changes to their positions in the stock. Main Street Financial Solutions LLC increased its position in NIKE by 4.2% in the 2nd quarter. Main Street Financial Solutions LLC now owns 3,441 shares of the footwear maker's stock valued at $244,000 after buying an additional 139 shares in the last quarter. St. Clair Advisors LLC raised its stake in NIKE by 0.9% during the 3rd quarter. St. Clair Advisors LLC now owns 15,217 shares of the footwear maker's stock worth $1,061,000 after buying an additional 140 shares during the period. Spirepoint Private Client LLC boosted its holdings in NIKE by 0.4% in the third quarter. Spirepoint Private Client LLC now owns 36,140 shares of the footwear maker's stock worth $2,520,000 after acquiring an additional 153 shares in the last quarter. CVA Family Office LLC grew its stake in NIKE by 8.0% in the third quarter. CVA Family Office LLC now owns 2,113 shares of the footwear maker's stock valued at $147,000 after acquiring an additional 156 shares during the period. Finally, Naples Global Advisors LLC grew its stake in NIKE by 1.9% in the third quarter. Naples Global Advisors LLC now owns 8,514 shares of the footwear maker's stock valued at $597,000 after acquiring an additional 159 shares during the period. Institutional investors own 64.25% of the company's stock.

Wall Street Analyst Weigh In

A number of equities analysts have recently weighed in on NKE shares. Needham & Company LLC lowered NIKE from a "buy" rating to a "hold" rating in a research report on Thursday, January 8th. Deutsche Bank Aktiengesellschaft reduced their price target on shares of NIKE from $67.00 to $54.00 and set a "hold" rating for the company in a research report on Monday, March 23rd. Royal Bank Of Canada restated an "outperform" rating and set a $78.00 price objective on shares of NIKE in a report on Thursday, March 5th. Argus dropped their price objective on shares of NIKE from $85.00 to $70.00 in a research note on Tuesday, December 23rd. Finally, Oppenheimer reiterated an "outperform" rating on shares of NIKE in a report on Wednesday, December 17th. Twenty-two analysts have rated the stock with a Buy rating, ten have assigned a Hold rating and one has issued a Sell rating to the company's stock. According to data from MarketBeat.com, the stock currently has an average rating of "Moderate Buy" and an average target price of $73.20.

Key Headlines Impacting NIKE

Here are the key news stories impacting NIKE this week:

• Positive Sentiment: Q3 beat on top and bottom lines — Nike reported revenue ~ $11.3B and EPS that beat consensus, with management citing better discount control and product launches that helped sales outperform expectations, supporting near-term confidence in the turnaround. Nike third-quarter sales beat estimates
• Positive Sentiment: Analyst and shop-floor endorsement — Several analysts and boutiques highlighted product innovation and progress on the “Win Now” initiatives, and some firms reaffirmed bullish views, giving the stock support after the print. Telsey Advisory: Product innovation key to return to growth
• Neutral Sentiment: Options and positioning amplified moves — Pre-earnings options flow showed upside-heavy positioning into the release, which can magnify intraday moves as traders adjust exposures after the print. Nike options chain shows upside-heavy positioning into earnings
• Neutral Sentiment: Macro/trade flows supporting a bounce — Some broader market buying into quarter-end and hopes around geopolitical stability boosted risk appetite, helping cyclical names like Nike. Month of March Goes Out Like a Bull
• Negative Sentiment: China remains a clear headwind — Management and reporting highlighted continued weak demand and execution issues in China, which pressured profit and investor confidence given China’s outsized long-term importance. Nike Third-Quarter Profit Declines as Weak Demand in China Drags On
• Negative Sentiment: Margin and cash-flow pressures noted — Reports and filings show gross-profit and operating-profit declines y/y, tariff-related margin pressure and weaker operating cash flow versus prior years, which leave longer-term improvement questions unanswered for some investors. Nike's China stumble exposes execution gaps

NIKE Stock Up 3.1%

Shares of NYSE:NKE opened at $52.83 on Wednesday. The business's 50 day moving average is $59.68 and its 200 day moving average is $63.66. NIKE, Inc. has a 12-month low of $50.95 and a 12-month high of $80.17. The stock has a market cap of $78.21 billion, a price-to-earnings ratio of 31.08, a PEG ratio of 2.69 and a beta of 1.27. The company has a quick ratio of 1.40, a current ratio of 2.06 and a debt-to-equity ratio of 0.50.

NIKE (NYSE:NKE - Get Free Report) last released its quarterly earnings results on Tuesday, March 31st. The footwear maker reported $0.35 EPS for the quarter, beating analysts' consensus estimates of $0.32 by $0.03. NIKE had a return on equity of 18.43% and a net margin of 5.43%.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 firm posted $0.54 EPS. NIKE's quarterly revenue was up .1% compared to the same quarter last year. On average, sell-side analysts forecast that NIKE, Inc. will post 2.05 earnings per share for the current fiscal year.

NIKE Dividend Announcement

The company also recently announced a quarterly dividend, which will be paid on Wednesday, April 1st. Stockholders of record on Monday, March 2nd will be issued a $0.41 dividend. The ex-dividend date is Monday, March 2nd. This represents a $1.64 annualized dividend and a dividend yield of 3.1%. NIKE's dividend payout ratio is currently 96.47%.

NIKE Company 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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