NIKE (NYSE:NKE) Sees Unusually-High Trading Volume on Earnings Beat

NIKE, Inc. (NYSE:NKE - Get Free Report) shares saw unusually-strong trading volume on Friday following a stronger than expected earnings report. Approximately 7,379,743 shares traded hands during mid-day trading, a decline of 36% from the previous session's volume of 11,531,662 shares.The stock last traded at $76.36 and had previously closed at $77.10.

The footwear maker reported $0.78 earnings per share for the quarter, beating analysts' consensus estimates of $0.63 by $0.15. NIKE had a net margin of 10.60% and a return on equity of 39.84%. The business had revenue of $12.35 billion for the quarter, compared to the consensus estimate of $12.11 billion. During the same period last year, the firm posted $1.03 earnings per share. NIKE's quarterly revenue was down 7.7% on a year-over-year basis.

NIKE Increases Dividend

The business also recently disclosed a quarterly dividend, which will be paid on Thursday, January 2nd. Stockholders of record on Monday, December 2nd will be issued a dividend of $0.40 per share. This is an increase from NIKE's previous quarterly dividend of $0.37. This represents a $1.60 dividend on an annualized basis and a dividend yield of 2.08%. The ex-dividend date is Monday, December 2nd. NIKE's payout ratio is currently 45.85%.

Wall Street Analyst Weigh In

NKE has been the subject of several research analyst reports. Barclays dropped their price target on NIKE from $79.00 to $70.00 and set an "equal weight" rating for the company in a research note on Friday. Guggenheim decreased their price objective on NIKE from $115.00 to $110.00 and set a "buy" rating on the stock in a report on Wednesday, October 2nd. Piper Sandler reaffirmed a "neutral" rating and issued a $80.00 target price on shares of NIKE in a research note on Friday, September 20th. Bank of America decreased their price target on shares of NIKE from $95.00 to $90.00 and set a "buy" rating on the stock in a research note on Friday. Finally, Royal Bank of Canada cut their price objective on shares of NIKE from $82.00 to $80.00 and set a "sector perform" rating for the company in a research note on Thursday, November 7th. Fifteen investment analysts have rated the stock with a hold rating and fifteen have given a buy rating to the stock. According to data from MarketBeat, NIKE currently has an average rating of "Moderate Buy" and an average target price of $89.77.

Institutional Trading of NIKE

Several large investors have recently bought and sold shares of the company. ING Groep NV purchased a new position in shares of NIKE in the 3rd quarter valued at approximately $29,628,000. Cordatus Wealth Management LLC lifted its position in NIKE by 19.5% during the third quarter. Cordatus Wealth Management LLC now owns 41,510 shares of the footwear maker's stock valued at $3,669,000 after buying an additional 6,778 shares during the period. Bristlecone Advisors LLC boosted its holdings in shares of NIKE by 14.3% during the 3rd quarter. Bristlecone Advisors LLC now owns 93,521 shares of the footwear maker's stock valued at $8,267,000 after buying an additional 11,665 shares in the last quarter. Coldstream Capital Management Inc. grew its position in shares of NIKE by 62.3% in the 3rd quarter. Coldstream Capital Management Inc. now owns 121,279 shares of the footwear maker's stock worth $10,347,000 after buying an additional 46,567 shares during the period. Finally, Investment Management Corp of Ontario increased its stake in shares of NIKE by 49.4% in the 3rd quarter. Investment Management Corp of Ontario now owns 40,238 shares of the footwear maker's stock worth $3,557,000 after acquiring an additional 13,300 shares in the last quarter. 64.25% of the stock is owned by institutional investors.

NIKE Stock Performance

The company has a debt-to-equity ratio of 0.57, a quick ratio of 1.58 and a current ratio of 2.36. The business's 50-day moving average is $78.07 and its 200-day moving average is $80.65. The company has a market capitalization of $115.36 billion, a PE ratio of 22.05, a PEG ratio of 1.89 and a beta of 1.02.

About NIKE

NIKE, Inc, together with its subsidiaries, designs, develops, markets, and sells athletic footwear, apparel, equipment, accessories, and services worldwide. The company provides athletic and casual footwear, apparel, and accessories under the Jumpman trademark; and casual sneakers, apparel, and accessories under the Converse, Chuck Taylor, All Star, One Star, Star Chevron, and Jack Purcell trademarks.