NKE
Nike, Inc.
$42.00
▲ 0.0%Updated Aug 7, 11:30 AM ET
NKE at a glance — five pillars scored 0–100 from real filed financials.
Overall: Weak · 39/100. A wider, greener shape means more pillars look healthy. Dividends scores 0 when a company pays none — that is a choice, not a flaw.
▼ Down 24.0% over the last 12 months
Market Cap
$65.29B
P/E
27.91x
Forward P/E (est.)
39.87x
ROE
16.4%
Revenue Growth
-2.7%
EPS Growth
-49.4%
Profit Margin
4.8%
FCF Yield
8.5%
Debt / Equity
0.6x
ROIC
—
Interest Coverage
—
Current Ratio
2.14x
Dividend Yield
3.6%
Implied Growth (rev. DCF)
3.8%
Rating Score
39/100
Nike, Inc. (NKE) is a large-cap company in the Apparel, Accessories & Luxury Goods industry, part of the Consumer Discretionary sector of the S&P 500, with a market value around $65.29B.
In its latest reported year it generated about $46.31B in revenue and $3.22B in net profit.
Our model rates NKE Weak (39/100) on growth, profitability, financial health, and valuation. The summary below is built from its filed financials and current ratios and refreshes automatically.
Evidence of durable competitive advantage in the filed financials (9 years of history).
The filed history looks like a business competitors struggle to attack: high and steady margins, revenue that grows through cycles, and strong returns on capital.
43.6% average over the last 3 years
±0.9 pts around 44.2% across 9 years
grew in 6 of the last 8 year-over-year periods
positive in 9 of 9 years
A moat can't be proven by numbers alone — this scores the evidence a durable advantage leaves behind (pricing power, consistency, returns on capital), computed the same way for every stock. Pair it with the business overview before concluding anything.
Technical analysis reads price and volume to judge momentum and timing. It complements the fundamentals above — it does not replace them. Here is what NKE's chart says today, with each tool explained.
Trend — moving averages. A moving average is the average closing price over a window, which smooths out daily noise. NKE trades near $42.00, below its 50-day average ($43.84) and 200-day average ($57.32). Price below both averages is a downtrend — momentum is against buyers for now.
Momentum — RSI. The Relative Strength Index runs 0–100 and measures how strong recent gains are versus losses. Above 70 is "overbought", below 30 "oversold". At 42 it is in neutral territory — neither stretched nor washed out.
MACD. MACD compares two moving averages to flag shifts in momentum. Its histogram is currently negative — short-term momentum is fading.
Volatility — ATR. Average True Range is the typical daily move. NKE's is $1.48 (~3.5% of price), so swings of about that size each day are normal — handy for setting a stop that isn't too tight.
Support & resistance. Over the last month NKE found buyers near $40.00 (support) and sellers near $46.31 (resistance); its 52-week range is $40.00–$80.17. A decisive break beyond either edge often marks the next move.
Volume. The latest session traded 1.2× the 20-day average — about normal. Rising volume on up-days suggests real buying; on down-days, real selling.
Educational information to help you read a chart — not a recommendation or a forecast. It updates daily as the price and indicators change.
4Y CAGR
1.0%
Revenue moved from $34.35B in 2017 to $46.31B in 2025, a 3.8% compound annual growth rate. The most recent year declined 2.7% year over year. Shrinking revenue is worth a closer look — is it cyclical or structural?
Gross Margin
42.7%
Operating Margin
6.0%
Net Margin
7.0%
ROE
16.4%
Nike, Inc. keeps about 4.8% of each sales dollar as net profit, with a 42.7% gross margin and 6.0% operating margin. Return on equity is 16.4%. Thin margins leave less cushion if costs rise.
Total Debt
$7.96B
Net Debt
$1.30B
Net Debt / EBITDA
—
Debt / Equity
0.6x
Leverage: debt-to-equity is 0.6x, with a current ratio of 2.1x. That is a moderate, manageable debt load for most businesses. It carries roughly $7.96B of total debt against $6.66B of cash.
Operating CF
$3.70B
Free Cash Flow
$3.27B
FCF Margin
7.1%
In the latest year Nike, Inc. produced about $3.70B of operating cash flow and $3.27B of free cash flow after capital spending. That is a free-cash-flow yield of about 8.5% on today's price. Strong cash generation funds dividends, buybacks, and reinvestment.
Can the payout survive a bad year? Scored from filed cash flow, earnings coverage, and the raise/cut record.
The payout is comfortably covered by cash the business actually generates, with a raise habit behind it.
Dividend yield
3.6%
Per share (latest FY)
$1.57
Total paid (latest FY)
$2.30B
History on record
9 years
dividend uses 70% of free cash flow
71% of net income paid out
total dividends increased 8 years in a row
no cuts in the last 9 years on record
Coverage uses the latest fiscal year as filed with the SEC; the streak counts total dollars paid (per-share figures can carry split artifacts). Educational information, not income advice.
P/E
27.91x
P/S
1.45x
P/B
6.41x
EV / EBITDA
—
NKE trades at 27.9x trailing earnings (about 39.9x on estimated forward earnings), 1.5x sales, and 6.4x book value. Reverse-engineering today's price implies the market expects roughly 3.8% long-term free-cash-flow growth. That is a premium multiple that needs growth to justify it.
A two-stage discounted cash flow on real SEC-filed free cash flow — the intrinsic-value anchor professional analysts triangulate from.
DCF fair value / share
$44.73
Current price
$42.00
Starting FCF (latest 10-K)
$3.27B
Growth, years 1–5
-2.7%
Fade to terminal, years 6–10
2.5%
Discount rate
9.0%
Cash flows grow at the stage-1 rate (trailing revenue growth, capped at 20%) for five years, fade to 2.5% by year 10, and continue at that rate forever (Gordon terminal value), all discounted at 9.0%. Small changes in assumptions move the result a lot — treat this as one reference point, not a target price. Educational only, not investment advice.
Where NKE sits versus its Consumer Discretionary sector peers in the S&P 500.
Bands show the middle half (25th–75th percentile) of the 85 Consumer Discretionary companies in the S&P 500 — the peer-relative anchor professional comps analysis uses. Context only — not investment advice.
How NKE stacks up against its Consumer Discretionary peers — valuation, profitability, and growth versus the sector median.
In the Consumer Discretionary sector (158 S&P 500 companies), NKE ranks #63 of 158 by our overall rating. It trades at roughly in line versus the sector on earnings (27.9x P/E vs. 25.8x median) with a lower return on equity (16.4% vs. 26.2%) and slower revenue growth (-2.7% vs. 6.8%).
P/E vs sector
27.9x
median 25.8x
ROE vs sector
16.4%
median 26.2%
Growth vs sector
-2.7%
median 6.8%
Sector rank
#63
of 158 by rating
Valuation vs. quality map
The sweet spot is upper-left: more profitable (higher ROE) for a lower P/E. Dashed lines mark the sector median.
Peers are the closest Consumer Discretionary companies by sub-industry and size. Sector median is across all 158 S&P 500 names in the sector. Educational, not a recommendation.
Project revenue → earnings → price. Edit the assumptions to build your own case.
2030 price target (Base Case)
$0.00 – $0.00
vs. $42.00 today · expected CAGR -0% – 10%
| Metric | 2026 | 2027 | 2028 | 2029 | 2030 |
|---|---|---|---|---|---|
| Revenue | $47.70B | $49.13B | $50.60B | $52.12B | $53.68B |
| Net income | $3.34B | $3.44B | $3.54B | $3.65B | $3.76B |
| EPS | $2.15 | $2.21 | $2.28 | $2.35 | $2.42 |
| Share price (low) | $36.51 | $37.61 | $38.74 | $39.90 | $41.09 |
| Share price (high) | $60.14 | $61.94 | $63.80 | $65.71 | $67.69 |
| CAGR (low–high) | -13% / 43% | -5% / 21% | -3% / 15% | -1% / 12% | -0% / 10% |
Educational model on sample fundamentals — not a forecast or investment advice. Outputs are only as good as your assumptions.
The case for NKE:
- Strong return on equity (16.4%) shows capital is put to work well.
- Healthy free-cash-flow yield (~8.5%) funds buybacks and dividends.
- Pays a 3.6% dividend on top of any price gains.
The case against NKE:
- Revenue growth is slow/negative (-2.7%), limiting the upside engine.
- Thin net margins (4.8%) leave little room for error.
- Our model's overall read is Weak (39/100).
Growth risk — sluggish revenue (-2.7%) leaves little margin for execution missteps.
Margin risk — thin profitability (4.8%) is vulnerable to cost or pricing pressure.
Market risk — sector rotation, the economic cycle, and broad sentiment move the stock regardless of fundamentals.
On balance, the fundamentals screen weakly: Nike, Inc. is a large-cap consumer discretionary business with shrinking revenue, with modest profitability, and a sound balance sheet. It trades at 27.9x earnings, which our model scores Weak (39/100). Weigh this against your own goals and time horizon — this is educational information, not a recommendation.
Analyst Ratings
What 46 Wall Street analysts covering NKE recommend (August 2026). Consensus is a useful sanity check — not a substitute for your own homework.
Analysts have turned more cautious over the last three months (-12 pts of buy ratings).
Latest SEC Filings
NKE's most recent filings, straight from SEC EDGAR. Annual and quarterly reports are the deep dives; 8-Ks flag material events the moment they happen.
In the Idea Lab
NKE — frequently asked questions
Is NKE a good stock to buy?
We don't give buy or sell advice. Our model rates Nike, Inc. Weak (39/100) based on its growth, profitability, financial health, and valuation — use that as a research starting point and make your own decision.
What is NKE's rating on The Stocks School?
Nike, Inc. currently scores 39/100 (Weak) on our transparent model, which weighs real fundamentals: growth, margins, returns on capital, balance-sheet strength, and valuation.
How our ratings work →Where does NKE's data come from?
Live price data plus real fundamentals and 5-year financials pulled directly from Nike, Inc.'s SEC filings — refreshed automatically, not hand-entered.
How is the 5-year projection for NKE calculated?
It's a scenario model: it grows revenue at an assumed rate, applies a profit margin and a valuation multiple, and shows the resulting share-price range. The assumptions are yours to change — it's a tool for thinking, not a prediction.
Is this NKE analysis financial advice?
No. Everything on this page is educational research, not financial advice or a recommendation to buy or sell NKE. Always do your own research and consider a licensed professional.
Data notice. Fundamentals and financial statements are sourced from company filings (SEC EDGAR) and market-data providers; prices and market caps refresh on trading days and may be delayed. Ratings, projections, technical signals, and written summaries are model- or rule-generated for education and may simplify or lag the latest filings.
Not advice. Nothing on this page is investment advice or a recommendation to buy, hold, or sell any security. Do your own research and consult a licensed financial professional before investing.