NIKE (NYSE:NKE) Director Purchases $2,948,500.00 in Stock

Key Points

• NIKE director Timothy Cook bought 50,000 shares on Dec. 22 at an average price of $58.97, a $2,948,500 purchase that raised his holdings to 105,480 shares (a 90.12% increase).
• NIKE beat quarterly EPS estimates ($0.53 vs. $0.37) with $12.43B in revenue and raised its quarterly dividend to $0.41 (annualized $1.64, yield 2.9%) while carrying a high payout ratio of 96.47%.
• The stock traded around $57.35 with a market cap near $84.8B; analysts rate NIKE a consensus "Moderate Buy" with an average target price of $78.14.

NIKE, Inc. (NYSE:NKE - Get Free Report) Director Timothy Cook acquired 50,000 shares of NIKE stock in a transaction that occurred on Monday, December 22nd. The shares were bought at an average price of $58.97 per share, for a total transaction of $2,948,500.00. Following the transaction, the director owned 105,480 shares of the company's stock, valued at $6,220,155.60. This represents a 90.12% increase in their position. The purchase was disclosed in a filing with the Securities & Exchange Commission, which is available through this hyperlink.

NIKE Trading Up 0.2%

NYSE:NKE traded up $0.13 during trading hours on Tuesday, hitting $57.35. The company had a trading volume of 22,097,277 shares, compared to its average volume of 16,475,984. NIKE, Inc. has a 1 year low of $52.28 and a 1 year high of $82.44. The company has a market cap of $84.77 billion, a P/E ratio of 33.73, a P/E/G ratio of 2.13 and a beta of 1.28. The company has a 50-day moving average of $64.85 and a 200 day moving average of $69.45. The company has a current ratio of 2.06, a quick ratio of 1.40 and a debt-to-equity ratio of 0.50.

NIKE (NYSE:NKE - Get Free Report) last posted its quarterly earnings results on Thursday, December 18th. The footwear maker reported $0.53 EPS for the quarter, topping the consensus estimate of $0.37 by $0.16. NIKE had a return on equity of 18.43% and a net margin of 5.43%.The business had revenue of $12.43 billion for the quarter, compared to analyst estimates of $12.19 billion. During the same quarter in the previous year, the firm earned $0.78 EPS. The company's quarterly revenue was up .6% compared to the same quarter last year. Sell-side analysts expect that NIKE, Inc. will post 2.05 earnings per share for the current year.

NIKE Increases Dividend

The firm also recently disclosed a quarterly dividend, which will be paid on Friday, January 2nd. Investors of record on Monday, December 1st will be issued a $0.41 dividend. This is a boost from NIKE's previous quarterly dividend of $0.40. This represents a $1.64 dividend on an annualized basis and a yield of 2.9%. The ex-dividend date is Monday, December 1st. NIKE's payout ratio is currently 96.47%.

Institutional Inflows and Outflows

Institutional investors have recently made changes to their positions in the business. Norges Bank acquired a new position in shares of NIKE in the second quarter worth $835,063,000. DZ BANK AG Deutsche Zentral Genossenschafts Bank Frankfurt am Main raised its stake in shares of NIKE by 3,129.9% in the second quarter. DZ BANK AG Deutsche Zentral Genossenschafts Bank Frankfurt am Main now owns 9,091,426 shares of the footwear maker's stock valued at $645,855,000 after acquiring an additional 8,809,950 shares in the last quarter. Harris Associates L P purchased a new position in NIKE in the second quarter valued at $621,525,000. Invesco Ltd. grew its stake in NIKE by 66.1% during the 2nd quarter. Invesco Ltd. now owns 12,157,198 shares of the footwear maker's stock worth $863,647,000 after purchasing an additional 4,840,114 shares in the last quarter. Finally, Jennison Associates LLC increased its holdings in NIKE by 42.3% during the 3rd quarter. Jennison Associates LLC now owns 11,838,528 shares of the footwear maker's stock worth $825,501,000 after purchasing an additional 3,518,666 shares during the period. Institutional investors and hedge funds own 64.25% of the company's stock.

Analyst Upgrades and Downgrades

A number of equities research analysts have commented on the company. JPMorgan Chase & Co. reduced their target price on NIKE from $100.00 to $86.00 and set a "buy" rating on the stock in a research report on Monday, November 17th. Sanford C. Bernstein set a $85.00 price objective on shares of NIKE and gave the company an "outperform" rating in a report on Friday. Truist Financial set a $70.00 target price on shares of NIKE and gave the company a "buy" rating in a research report on Friday. Bank of America dropped their price target on shares of NIKE from $84.00 to $73.00 and set a "buy" rating for the company in a research report on Friday. Finally, Raymond James Financial reissued a "market perform" rating on shares of NIKE in a research note on Monday, December 15th. Two analysts have rated the stock with a Strong Buy rating, twenty-five have issued a Buy rating and ten have issued a Hold rating to the stock. According to MarketBeat.com, the stock currently has an average rating of "Moderate Buy" and a consensus target price of $78.14.

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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