Nike (NKE) ended the recent trading session at $69.24, demonstrating a -2.78% change from the preceding day's closing price. The stock fell short of the S&P 500, which registered a loss of 0.5% for the day. Elsewhere, the Dow saw a downswing of 0.38%, while the tech-heavy Nasdaq depreciated by 0.5%.
Heading into today, shares of the athletic apparel maker had lost 8.76% over the past month, lagging the Consumer Discretionary sector's loss of 0.89% and the S&P 500's gain of 2.74%.
The upcoming earnings release of Nike will be of great interest to investors. The company's earnings report is expected on September 30, 2025. The company's upcoming EPS is projected at $0.28, signifying a 60.00% drop compared to the same quarter of the previous year. Simultaneously, our latest consensus estimate expects the revenue to be $11 billion, showing a 5.04% drop compared to the year-ago quarter.
NKE's full-year Zacks Consensus Estimates are calling for earnings of $1.68 per share and revenue of $45.77 billion. These results would represent year-over-year changes of -22.22% and -1.17%, respectively.
Investors should also pay attention to any latest changes in analyst estimates for Nike. Such recent modifications usually signify the changing landscape of near-term business trends. With this in mind, we can consider positive estimate revisions a sign of optimism about the business outlook.
Our research reveals that these estimate alterations are directly linked with the stock price performance in the near future. To capitalize on this, we've crafted the Zacks Rank, a unique model that incorporates these estimate changes and offers a practical rating system.
The Zacks Rank system, which varies between #1 (Strong Buy) and #5 (Strong Sell), carries an impressive track record of exceeding expectations, confirmed by external audits, with stocks at #1 delivering an average annual return of +25% since 1988. Over the past month, there's been a 0.38% fall in the Zacks Consensus EPS estimate. Right now, Nike possesses a Zacks Rank of #3 (Hold).
From a valuation perspective, Nike is currently exchanging hands at a Forward P/E ratio of 42.43. This indicates a premium in contrast to its industry's Forward P/E of 21.28.
We can additionally observe that NKE currently boasts a PEG ratio of 2.59. This metric is used similarly to the famous P/E ratio, but the PEG ratio also takes into account the stock's expected earnings growth rate. The average PEG ratio for the Shoes and Retail Apparel industry stood at 1.01 at the close of the market yesterday.
The Shoes and Retail Apparel industry is part of the Consumer Discretionary sector. This industry currently has a Zacks Industry Rank of 175, which puts it in the bottom 30% of all 250+ industries.
The Zacks Industry Rank is ordered from best to worst in terms of the average Zacks Rank of the individual companies within each of these sectors. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
You can find more information on all of these metrics, and much more, on Zacks.com.
Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report
NIKE, Inc. (NKE): Free Stock Analysis ReportThis article originally published on Zacks Investment Research (zacks.com).
Zacks Investment Research
