NIKE, Inc. [NKE] is following downward trend in the market concluded with the last trading session. The shares of the Consumer Goods sector company has a current value of $92.00 after NKE shares went down by -0.97% during the last trading session. One of the reasons why Consumer Goods stocks may go bearish is decreased momentum in the press.
NIKE, Inc. [NYSE:NKE]: Analyst Rating and Earnings
Its stock price has been found in the range of 77.07 to 105.62. This is compared to its latest closing price of $92.90.
Keep an eye out for the next scheduled publication date for this company’s financial results, which are expected to be released on 03/24/2020.
Fundamental Analysis of NIKE, Inc. [NKE]
Now let’s turn to look at profitability: with a current Operating Margin for NIKE, Inc. [NKE] sitting at +12.08 and its Gross Margin at +44.54, this company’s Net Margin is now 11.20%. These measurements indicate that NIKE, Inc. [NKE] is generating considerably more profit, after expenses are accounted for, compared to its market peers.
This company’s Return on Total Capital is 36.14, and its Return on Invested Capital has reached 32.00%. Its Return on Equity is 42.74, and its Return on Assets is 17.42. These metrics all suggest that NIKE, Inc. is doing well at using the money it earns to generate returns.
Turning to investigate this organization’s capital structure, NIKE, Inc. [NKE] has generated a Total Debt to Total Equity ratio of 38.48. Similarly, its Total Debt to Total Capital is 27.79, while its Total Debt to Total Assets stands at 14.67. Looking toward the future, this publicly-traded company’s Long-Term Debt to Equity is 38.10, and its Long-Term Debt to Total Capital is 38.32.
What about valuation? This company’s Enterprise Value to EBITDA is 29.48 and its Total Debt to EBITDA Value is 0.64. The Enterprise Value to Sales for this firm is now 3.92, and its Total Debt to Enterprise Value stands at 0.03. NIKE, Inc. [NKE] has a Price to Book Ratio of 13.38, a Price to Cash Flow Ratio of 21.15 and P/E Ratio of 32.23. These metrics suggest that this publicly-traded organization will not likely result in investment gains.
Shifting the focus to workforce efficiency, NIKE, Inc. [NKE] earns $510,065 for each employee under its payroll. Similarly, this company’s Receivables Turnover is 10.07 and its Total Asset Turnover is 1.69. This publicly-traded organization’s liquidity data is also interesting: its Quick Ratio is 1.39 and its Current Ratio is 2.10. This company, considering these metrics, has a healthy ratio between its short-term liquid assets and its short-term liabilities, making it a less risky investment.
NIKE, Inc. [NKE] has 1.59B shares outstanding, amounting to a total market cap of $146.54B. Its stock price has been found in the range of 77.07 to 105.62. At its current price, it has moved down by -12.90% from its 52-week high, and it has moved up 19.37% from its 52-week low.
This stock’s Beta value is currently 0.85, which indicates that it is 2.76% more volatile that the wider market. This stock’s Relative Strength Index (RSI) is at 27.14. This stock, according to these metrics, is currently Oversold.
Conclusion: Is NIKE, Inc. [NKE] a Reliable Buy?
Shares of NIKE, Inc. [NKE], overall, appear to be a solid investment option, with Wall Street analysts expecting its price to rise considerably in the next 12 months. This company generates high value from the labor resources and other capital it has available, and while it has heavy Long-Term Debt to Equity, the majority of the metrics point to this investment being highly attractive.