BlackRock Fund Advisors recently announced the acquisition of new stake in NIKE Inc. (NYSE:NKE). The institutional investor has increased its shareholding in the Consumer Cyclical company by 6.25% to 63.67 million shares with purchase of 3.74 million shares. This fresh investment now brings its stake to 5.12% valued currently at $6.22 billion. In addition, SSgA Funds Management, Inc. raised its holdings by 0.54 million to 59.19 million shares. And Edgewood Management LLC has lifted its position by 5.72% or 0.99 million shares – to 18.39 million shares.
With over 4.91 million NIKE Inc. (NKE) shares trading Tuesday and a closing price of $114.84 on the day, the dollar volume was approximately $563.66 million. The shares have shown a positive weekly performance of 2.99% and its price on 09/01/20 gained nearly 2.64%. Currently, there are 1.56B common shares owned by the public and among those 1.24B shares have been available to trade.
An analysis of what Wall Street brokers have to say about the expected price targets for this stock gives us this picture: 31 analysts who have offered their price forecasts for NKE have a consensus price objective of $114.97. The analysts have set the share’s price value over the next 12 months at a high of $150.00 and a low of $87.00 should the stock experience a downside. Incidentally, analysts’ outlook for the NIKE Inc. stock is 2.00 for the next 12 months. The average price target is -1.82% below its last price level and a downside to the estimated low will see the stock lose -32.0% over that period. But an upside of 23.44% will see the stock hit the forecast high price target while mean target price for the stock is $115.00.
Insiders at the company have transacted a total of 119 times over the past 12 months, according to data filed with the U.S. Securities and Exchange Commission (SEC). 59 of these insider trades were purchases, accounting for 2,183,869 shares. Insider sales of the common stock occurred on 60 occasions, with total insider shares sold totaling 1,730,737 shares.
The top 3 mutual fund holders in NIKE Inc. are Vanguard Total Stock Market Index, Vanguard 500 Index Fund, and SPDR S&P 500 ETF. Vanguard Total Stock Market Index owns 35.24 million shares of the company’s stock, all valued at over $3.44 billion. The company sold -0.1 million shares recently to bring their total holdings to about 2.83% of the shares outstanding. Vanguard 500 Index Fund sold -0.16 million shares to see its total holdings shrink to 25.57 million shares valued at over $2.5 billion and representing 2.05% of the shares outstanding. SPDR S&P 500 ETF bought 26892.0 shares to bring its total holdings to over 13.29 million shares at a value of $1.3 billion. SPDR S&P 500 ETF now owns shares totaling to 1.07% of the shares outstanding.
Shares of NIKE Inc. (NYSE: NKE) opened at $112.00, up $0.11 from a prior closing price of $111.89. However, the script later closed the day at $114.84, up 2.64%. The company’s stock has a 5-day price change of 2.99% and 10.31% over the past three months. NKE shares are trading 13.36% year to date (YTD), with the 12-month market performance up to 35.63% higher. It has a 12-month low price of $60.00 and touched a high of $112.79 over the same period. Currently, 4.91 million shares have been traded, compared to an average intraday trading volume of 6.37 million shares. The stock is trading above its simple moving averages at the SMA20, SMA50, and SMA200, as the current price level is off by 7.43%, 13.18%, and 20.54% respectively.
Institutional ownership of NIKE Inc. (NYSE: NKE) shares accounts for 84.10% of the company’s 1.56B shares outstanding. Mutual fund holders own 4.14%, while other institutional holders and individual stakeholders account for 44.09% and 39.16% respectively.
It has a market capitalization of $176.82B and a beta (3y monthly) value of 0.83. The stock’s trailing 12-month PE ratio is 72.73, while the earnings-per-share (ttm) stands at $1.58. The company has a PEG of 3.08 and a Quick Ratio of 1.60 with the debt-to-equity ratio at 1.20. Price movements for the stock have been influenced by the stock’s volatility, which stands at 1.74% over the week and 1.94% over the month.
Analysts forecast that NIKE Inc. (NKE) will achieve an EPS of $0.41 for the current quarter, $0.55 for the next quarter and $3.31 for 2022. The lowest estimate earnings-per-share for the quarter is $0.09 while analysts give the company a high EPS estimate of $0.75. Comparatively, EPS for the current quarter was $0.86 a year ago. Earnings per share for the fiscal year are expected to decrease by -35.90%, and 41.07% over the next financial year. EPS should grow at an annualized rate of 23.64% over the next five years, compared to -2.90% over the past 5-year period.
If you are looking to buy this stock, then you may note that the average analyst recommendation by 31 brokerage firm advisors rate NIKE Inc. (NKE) as a “Moderate Buy” at a consensus score of 2.00. Specifically, 23 Wall Street analysts polled rate the stock as a buy, while 5 of the 31 advise that investors “hold,” and 0 rated it as a “Sell.”
Looking at the support for the NKE, a number of firms have released research notes about the stock. Susquehanna stated their Positive rating for the stock in a research note on August 19, 2020, with the firm’s price target at $130-$150. Morgan Stanley coverage for the NIKE Inc. (NKE) stock in a research note released on July 01, 2020 offered a Overweight rating with a price target of $121. Wells Fargo was of a view on June 26, 2020 that the stock is Overweight, while UBS gave the stock Buy rating on June 26, 2020, issuing a price target of $122- $127. Pivotal Research Group on their part issued Buy rating on June 26, 2020.