TD Waterhouse Canada Inc. Trims Stock Position in NIKE, Inc. $NKE

TD Waterhouse Canada Inc. decreased its stake in NIKE, Inc. (NYSE:NKE) by 23.8% in the 2nd quarter, HoldingsChannel reports. The institutional investor owned 390,183 shares of the footwear maker’s stock after selling 122,197 shares during the period. TD Waterhouse Canada Inc.’s holdings in NIKE were worth $16,835,000 as of its most recent SEC filing.

A number of other hedge funds have also recently modified their holdings of NKE. Scarborough Advisors LLC acquired a new stake in NIKE during the 1st quarter worth $25,000. Cornerstone Financial Management LLC acquired a new position in NIKE in the fourth quarter valued at $26,000. Sankala Group LLC purchased a new position in shares of NIKE during the fourth quarter worth about $26,000. Meeder Asset Management Inc. grew its holdings in shares of NIKE by 108.4% during the first quarter. Meeder Asset Management Inc. now owns 548 shares of the footwear maker’s stock worth $29,000 after purchasing an additional 285 shares during the last quarter. Finally, J.Safra Asset Management Corp acquired a new stake in shares of NIKE during the fourth quarter worth about $29,000. 64.25% of the stock is owned by hedge funds and other institutional investors.

Insider Buying and Selling

In other news, COO Venkatesh Alagirisamy sold 890 shares of the company’s stock in a transaction that occurred on Wednesday, August 5th. The stock was sold at an average price of $41.60, for a total transaction of $37,024.00. Following the completion of the sale, the chief operating officer owned 74,820 shares in the company, valued at $3,112,512. This represents a 1.18% decrease in their ownership of the stock. The transaction was disclosed in a document filed with the Securities & Exchange Commission, which is available through this link. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, insider Amy Montagne sold 4,867 shares of the stock in a transaction on Friday, August 7th. The stock was sold at an average price of $42.05, for a total value of $204,657.35. Following the sale, the insider directly owned 57,436 shares of the company’s stock, valued at approximately $2,415,183.80. This represents a 7.81% decrease in their ownership of the stock. Additional details regarding this sale are available in the official SEC disclosure. In the last ninety days, insiders sold 26,142 shares of company stock worth $1,169,380. 1.10% of the stock is currently owned by company insiders.

NIKE Stock Performance

NYSE NKE opened at $38.39 on Friday. The company has a quick ratio of 1.36, a current ratio of 1.96 and a debt-to-equity ratio of 0.40. NIKE, Inc. has a 52-week low of $37.95 and a 52-week high of $76.97. The business’s 50-day moving average price is $41.58 and its 200 day moving average price is $46.28. The firm has a market cap of $56.95 billion, a P/E ratio of 18.37, a P/E/G ratio of 1.90 and a beta of 1.10.

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

NIKE Dividend Announcement

The business also recently announced a quarterly dividend, which will be paid on Thursday, October 1st. Stockholders of record on Tuesday, September 1st will be issued a $0.41 dividend. The ex-dividend date of this dividend is Tuesday, September 1st. This represents a $1.64 dividend on an annualized basis and a dividend yield of 4.3%. NIKE’s payout ratio is presently 78.47%.

Key Headlines Impacting NIKE

Here are the key news stories impacting NIKE this week:

• Positive Sentiment: Analysts are bullish on Nike among selected consumer-cyclical companies, supporting the view that the stock’s depressed valuation could offer upside if the company executes its turnaround. Analysts Are Bullish on These Consumer Cyclical Stocks: Nike (NKE), Ferrari (RACE)
• Positive Sentiment: Nike is expanding its Strength Pro Equipment business with customizable Power Rack systems installed at prominent athletic facilities, including U.S. Soccer, USC and professional women’s sports venues. The initiative could deepen institutional relationships and create a broader growth opportunity beyond footwear and apparel. Nike’s Custom Power Racks Might Change The Case For Investing In NIKE (NKE)
• Neutral Sentiment: Some investment coverage describes Nike as potentially undervalued after its steep decline, while emphasizing that the opportunity depends on stabilizing margins and successfully improving the business. Recent earnings also showed an EPS beat and slightly stronger-than-expected revenue, although sales declined year over year. Down almost 80%, is Nike stock undervalued or a value trap?
• Neutral Sentiment: Broader market conditions could affect NKE: investors are focused on the August employment report because it may influence the Federal Reserve’s interest-rate decision later this month. Apparel and luxury-goods stock screens also continue to identify Nike as a company worth watching. 5 Things to Know Before the Stock Market Opens on Friday
• Negative Sentiment: Bearish commentary says Nike faces a difficult turnaround and that its current valuation may provide limited margin of safety, raising the risk that the stock is a value trap if profitability and demand do not recover. Nike: A Difficult Turnaround At A Price That Offers Little Margin of Safety
• Negative Sentiment: Nike is reportedly closing 11 U.S. stores, signaling continued efforts to rationalize its retail footprint and potentially reflecting weaker store economics or changing shopping patterns. Nike closes 11 stores across the US

Wall Street Analyst Weigh In

Several research firms have recently weighed in on NKE. Guggenheim reissued a “buy” rating and issued a $60.00 target price (down from $74.00) on shares of NIKE in a report on Wednesday, July 1st. 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, August 25th. DZ Bank reiterated a “buy” rating on shares of NIKE in a research note on Tuesday, June 30th. Telsey Advisory Group set a $47.00 price objective on NIKE and gave the company a “market perform” rating in a report on Wednesday, July 1st. Finally, Zacks Research upgraded shares of NIKE from a “strong sell” rating to a “hold” rating in a research report on Wednesday, August 19th. One investment analyst has rated the stock with a Strong Buy rating, twelve have given a Buy rating, twenty have issued a Hold rating and four have assigned a Sell rating to the company’s stock. Based on data from MarketBeat, NIKE currently has an average rating of “Hold” and a consensus price target of $52.94.

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).