Nike, Inc. (NYSE:NKE) issued a quarterly cash dividend today, payable on October 3, 2022, to shareholders of record at about the close of business on September 6, 2022, at $0.305 per share on the Company’s outstanding Class A and Class B Common Stock.
About NIKE, Inc. (NYSE:NKE)
The world’s top designer, marketer, and distributor of genuine athletic footwear, clothes, gear, and accessories for various sports and fitness activities is NIKE, Inc. (NYSE:NKE), which has its headquarters close to Beaverton, Oregon. Converse, a wholly-owned subsidiary of NIKE, Inc. (NYSE:NKE), creates, sells, and distributes athletic lifestyle footwear, clothing, and accessories.
For additional information, visit http://investors.nike.com to access NIKE, Inc.’s earnings releases and other financial data online. One can also follow @NIKE and go to http://news.nike.com.
Is Nike, Inc. (NYSE:NKE), the Most Watched Stock, a Good Bet Right Now?
Recently, Zacks.com users have been paying close attention to Nike (NYSE:NKE), among other companies. Therefore, it could be a good idea to evaluate some variables that could impact the stock’s performance shortly.
Compared to the +7.1% change in the Zacks S&P 500 composite during the past month, shares of this manufacturer of sporting clothing have returned +7.1%. Over this time, the Zacks Shoes and Retail Apparel industry, to which Nike (NYSE:NKE) belongs, has increased by 10.8%. Where the stock might be heading shortly is now the crucial question.
There are always some underlying truths that ultimately predominate the buy-and-hold decision-making, even when media releases or speculations about a significant change in a company’s business prospects typically make its stock “trending” and result in a rapid price movement.
Revisions to Earnings Estimates
At Zacks, they give evaluating the change in a company’s earnings outlook priority over everything else. This is because, in their opinion, the fair value of its stock is decided by the value of its projected future earnings stream.
Zacks’ analysis is primarily based on how sell-side analysts who follow the stock update their profit predictions to reflect the most recent commercial trends. The fair value of a firm’s shares increases in tandem with rising earnings expectations for that company. Additionally, when a stock’s fair value is more significant than its current market price, investors are more likely to purchase the shares, driving up the price. Because of this, empirical studies show a substantial link between changes in earnings estimate revisions and short-term stock price swings.
Nike (NYSE:NKE) is anticipated to report earnings of $0.93 per share for the current quarter, representing a drop of -19.8% from the same period last year. Over the past 30 days, the Zacks’ Consensus Estimate has changed by -0.1%.
According to the consensus profits projection of $3.82 for the current fiscal year, there has been an increase of +1.9% over last year. The last 30 days have seen a -0.9% change in this estimate. The consensus earnings estimate of $4.60 for the upcoming fiscal year is a shift of +20.3 % over what Nike (NYSE:NKE) is anticipated to report in the prior year. The estimate has changed -by 0.7% over the past month.
Zacks’ unique stock grading tool, the Zacks Rank, has a strong track record of being externally audited. It is a more reliable predictor of a stock’s near-term price performance because it effectively uses the power of earnings estimate revisions. Nike (NYSE:NKE) now has a Zacks Rank #4 (Sell) due to the extent of the most recent change in the consensus estimate as well as three other earnings estimate-related variables.
Featured Image: Megapixl @Shanliangdigital
