Rakuten Investment Management Inc. Increases Stock Position in NIKE, Inc. $NKE

Rakuten Investment Management Inc. lifted its position in shares of NIKE, Inc. (NYSE:NKE) by 11.0% during the second quarter, Holdings Channel reports. The firm owned 197,355 shares of the footwear maker’s stock after acquiring an additional 19,527 shares during the period. Rakuten Investment Management Inc.’s holdings in NIKE were worth $8,186,000 as of its most recent SEC filing.

Other hedge funds and other institutional investors have also added to or reduced their stakes in the company. J. Stern & Co. LLP grew its position in NIKE by 49,010.4% in the 4th quarter. J. Stern & Co. LLP now owns 48,054,542 shares of the footwear maker’s stock worth $3,061,555,000 after purchasing an additional 47,956,692 shares in the last quarter. Norges Bank bought a new position in shares of NIKE during the 4th quarter worth approximately $829,956,000. Flossbach Von Storch SE bought a new position in shares of NIKE during the 2nd quarter worth approximately $488,714,000. Harris Associates L P purchased a new position in shares of NIKE in the 2nd quarter worth approximately $621,525,000. Finally, Capital World Investors boosted its stake 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 worth $3,126,246,000 after buying an additional 6,830,938 shares during the last quarter. 64.25% of the stock is currently owned by hedge funds and other institutional investors.

Key Headlines Impacting NIKE

Here are the key news stories impacting NIKE this week:

• Positive Sentiment: Traders purchased 182,729 NKE call options, 59% above typical daily call volume. The activity may reflect increased bullish speculation, although options positioning does not guarantee sustained buying in the shares.
• Positive Sentiment: Grupo SBF extended its exclusive Nike distribution agreement in Brazil through 2034. The longer arrangement provides continued access to an important Latin American market and supports Nike’s regional distribution network. Grupo SBF Extends Exclusive Nike Distribution Deal in Brazil to 2034
• Neutral Sentiment: NIKE said it will release fiscal first-quarter 2027 results on October 1 after the market close, followed by a management conference call. Investors will look for evidence that the company’s turnaround is improving sales, inventory levels and margins. NIKE Announces First Quarter Fiscal 2027 Earnings and Conference Call
• Neutral Sentiment: NIKE appointed Walmart veteran Jane Ewing as chief commercial officer to help lead its comeback. The hire could strengthen execution and retail strategy, but investors are likely to want measurable results before assigning significant value to the turnaround. Nike Taps Walmart Veteran to Help Drive Comeback
• Negative Sentiment: Reports say Nike’s China business continues to shrink as domestic competitors gain market share and the brand struggles to remain locally relevant. China weakness threatens a key source of long-term growth. Why America’s Biggest Brands Keep Losing in China
• Negative Sentiment: Analysts and market commentary continue to cite soft consumer confidence, weaker traffic, excess legacy inventory and doubts about product innovation. These concerns reinforce expectations for a prolonged recovery and have contributed to reduced price targets and bearish sentiment.

Wall Street Analysts Forecast Growth

A number of brokerages recently commented on NKE. Royal Bank Of Canada reaffirmed a “sector perform” rating and set a $45.00 price target on shares of NIKE in a research report on Tuesday. Stifel Nicolaus set a $45.00 price objective on NIKE and gave the company a “hold” rating in a research note on Wednesday, July 1st. Telsey Advisory Group set a $47.00 target price on NIKE and gave the company a “market perform” rating in a research report on Wednesday, July 1st. Berenberg Bank set a $49.00 target price on NIKE and gave the company a “hold” rating in a research report on Friday, July 3rd. Finally, Barclays lowered their target price on NIKE from $67.00 to $52.00 and set an “overweight” rating on the stock in a research note on Wednesday, July 1st. One research analyst has rated the stock with a Strong Buy rating, twelve have assigned a Buy rating, twenty have given a Hold rating and four have issued a Sell rating to the company. Based on data from MarketBeat.com, the company has an average rating of “Hold” and an average price target of $52.94.

NIKE Stock Up 2.9%

NKE opened at $39.57 on Friday. NIKE, Inc. has a 12 month low of $38.17 and a 12 month high of $79.13. The company has a market cap of $58.70 billion, a PE ratio of 18.93, a price-to-earnings-growth ratio of 1.76 and a beta of 1.11. The company has a current ratio of 1.96, a quick ratio of 1.36 and a debt-to-equity ratio of 0.40. The company has a 50 day moving average of $41.91 and a 200 day moving average of $47.11.

NIKE (NYSE:NKE) last issued its earnings results on Tuesday, June 30th. The footwear maker reported $0.20 earnings per share (EPS) for the quarter, beating analysts’ consensus estimates of $0.11 by $0.09. The business had revenue of $10.97 billion for the quarter, compared to analysts’ expectations of $10.85 billion. NIKE had a net margin of 6.70% and a return on equity of 16.54%. The business’s revenue for the quarter was down 1.1% compared to the same quarter last year. During the same quarter in the previous year, the firm posted $0.14 EPS. On average, sell-side analysts expect that NIKE, Inc. will post 1.74 EPS for the current year.

NIKE Announces Dividend

The business also recently declared a quarterly dividend, which will be paid on Thursday, October 1st. Stockholders of record on Tuesday, September 1st will be given a $0.41 dividend. The ex-dividend date is Tuesday, September 1st. This represents a $1.64 annualized dividend and a dividend yield of 4.1%. NIKE’s payout ratio is 78.47%.

Insider Buying and Selling

In other news, EVP Philip Mccartney sold 17,398 shares of the firm’s stock in a transaction that occurred on Friday, June 12th. The shares were sold at an average price of $46.18, for a total value of $803,439.64. Following the completion of the transaction, the executive vice president directly owned 53,133 shares in the company, valued at approximately $2,453,681.94. This trade represents a 24.67% decrease in their ownership of the stock. The transaction was disclosed in a legal filing with the Securities & Exchange Commission, which can be accessed through the SEC website. 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. Also, CFO Matthew Friend sold 2,463 shares of the business’s stock in a transaction that occurred on Wednesday, August 5th. The shares were sold at an average price of $41.60, for a total transaction of $102,460.80. Following the transaction, the chief financial officer directly owned 82,165 shares of the company’s stock, valued at approximately $3,418,064. This represents a 2.91% decrease in their position. Additional details regarding this sale are available in the official SEC disclosure. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. In the last 90 days, insiders have sold 26,142 shares of company stock valued at $1,169,380. 1.10% of the stock is owned by company insiders.

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).