NIKE (NYSE:NKE) Sets New 52-Week Low - Here's Why

Key Points

• NIKE shares fell to a new 52-week low of $38.10, reflecting weak momentum and investor uncertainty over the company’s turnaround.
• J.P. Morgan maintained its Sell/Underweight stance and cut its fiscal 2027 earnings outlook, citing risks from weaker consensus estimates, intensifying competition in China and broader operating challenges.
• Analysts collectively rate NIKE “Hold,” with a consensus price target of $52.94, while the company reported better-than-expected quarterly EPS and revenue but still posted a 1.1% year-over-year revenue decline.

NIKE, Inc. (NYSE:NKE - Get Free Report)'s stock price hit a new 52-week low during mid-day trading on Tuesday . The stock traded as low as $38.10 and last traded at $38.3230, with a volume of 2645712 shares trading hands. The stock had previously closed at $39.06.

Key NIKE News

Here are the key news stories impacting NIKE this week:

• Positive Sentiment: NIKE reinstated the chief commercial officer position and appointed Walmart veteran Jane Ewing, potentially strengthening execution across sales and distribution. The company also announced a partnership with Foot Locker to open The Crenshaw Rec in Los Angeles, supporting community engagement and retail visibility. Nike Reinstates Chief Commercial Officer Role
• Neutral Sentiment: NIKE’s New York street-race promotion, which offered winners up to $4,000 toward rent, generated brand exposure and highlighted the company’s connection with runners, although the event is unlikely to materially affect near-term financial results. At Nike's NYC street race
• Neutral Sentiment: An apparel-stock research roundup included NIKE but did not identify a major new company-specific catalyst. Apparel Stocks To Research
• Negative Sentiment: J.P. Morgan maintained a Sell rating and reportedly lowered its fiscal 2027 earnings outlook, citing downside risk to consensus estimates, intensifying competition in China and broader operating challenges. This is the clearest negative catalyst for NKE today. J.P. Morgan Remains a Sell on Nike JPMorgan Cuts Nike 2027 Earnings Outlook
• Negative Sentiment: NIKE recently declined more than the broader market, reinforcing concerns that investors are selling the stock amid weak momentum and uncertainty around the company’s turnaround. Nike Suffers a Larger Drop Than the General Market

Wall Street Analyst Weigh In

Several equities research analysts have recently weighed in on the company. Weiss Ratings upgraded NIKE from a "sell (d)" rating to a "sell (d+)" rating in a report on Friday, July 17th. JPMorgan Chase & Co. restated an "underweight" rating and set a $40.00 price objective (down from $47.00) on shares of NIKE in a report on Tuesday, August 4th. Piper Sandler cut their price objective on NIKE from $50.00 to $45.00 and set a "neutral" rating on the stock in a research report on Wednesday, July 1st. Truist Financial set a $42.00 target price on NIKE and gave the stock a "hold" rating in a research note on Wednesday, August 26th. Finally, Wall Street Zen upgraded NIKE from a "sell" rating to a "hold" rating in a research report on Saturday, May 16th. One equities research analyst has rated the stock with a Strong Buy rating, twelve have issued a Buy rating, twenty have assigned a Hold rating and four have assigned a Sell rating to the company. Based on data from MarketBeat, NIKE presently has an average rating of "Hold" and a consensus price target of $52.94.

NIKE Stock Down 1.9%

The company's 50 day moving average price is $41.82 and its two-hundred day moving average price is $46.84. The company has a quick ratio of 1.36, a current ratio of 1.96 and a debt-to-equity ratio of 0.40. The stock has a market cap of $56.87 billion, a P/E ratio of 18.39, a P/E/G ratio of 1.76 and a beta of 1.11.

NIKE (NYSE:NKE - Get Free Report) last announced its quarterly earnings data on Tuesday, June 30th. The footwear maker reported $0.20 earnings per share (EPS) for the quarter, topping the consensus estimate of $0.11 by $0.09. The company had revenue of $10.97 billion for the quarter, compared to analysts' expectations of $10.85 billion. NIKE had a return on equity of 16.54% and a net margin of 6.70%.NIKE's revenue was down 1.1% compared to the same quarter last year. During the same quarter in the prior year, the firm earned $0.14 earnings per share. As a group, research analysts expect that NIKE, Inc. will post 1.74 earnings per share for the current year.

NIKE Announces Dividend

The company also recently announced a quarterly dividend, which will be paid on Thursday, October 1st. Shareholders of record on Tuesday, September 1st will be issued a $0.41 dividend. This represents a $1.64 annualized dividend and a dividend yield of 4.3%. The ex-dividend date is Tuesday, September 1st. NIKE's dividend payout ratio is currently 78.47%.

Insider Transactions at NIKE

In related news, COO Venkatesh Alagirisamy sold 890 shares of the company's stock in a transaction dated Wednesday, August 5th. The shares were sold at an average price of $41.60, for a total value of $37,024.00. Following the completion of the sale, the chief operating officer directly owned 74,820 shares of the company's stock, valued at $3,112,512. This represents a 1.18% decrease in their ownership of the stock. The transaction was disclosed in a legal filing with the Securities & Exchange Commission, which is available through the SEC website. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, EVP Philip Mccartney sold 17,398 shares of the stock in a transaction dated Friday, June 12th. The stock was sold at an average price of $46.18, for a total transaction of $803,439.64. Following the transaction, the executive vice president owned 53,133 shares in the company, valued at approximately $2,453,681.94. The trade was a 24.67% decrease in their ownership of the stock. The disclosure for this sale is available in the SEC filing. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. The sale was made to cover tax withholding obligations related to the vesting of equity awards. Insiders sold a total of 26,142 shares of company stock worth $1,169,380 over the last quarter. 1.10% of the stock is owned by corporate insiders.

Institutional Investors Weigh In On NIKE

Several large investors have recently modified their holdings of the business. Scarborough Advisors LLC purchased a new position in NIKE during the first quarter valued at approximately $25,000. Cornerstone Financial Management LLC purchased a new stake in NIKE during the fourth quarter worth $26,000. Sankala Group LLC purchased a new stake in NIKE during the fourth quarter worth $26,000. Meeder Asset Management Inc. boosted its position in NIKE by 108.4% during the 1st quarter. Meeder Asset Management Inc. now owns 548 shares of the footwear maker's stock valued at $29,000 after acquiring an additional 285 shares in the last quarter. Finally, J.Safra Asset Management Corp bought a new stake in NIKE during the 4th quarter valued at $29,000. Institutional investors own 64.25% of the company's stock.

About NIKE

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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