Harbor Island Capital LLC Raises Stake in NIKE, Inc. $NKE

Harbor Island Capital LLC increased its holdings in NIKE, Inc. (NYSE:NKE) by 48.8% during the second quarter, HoldingsChannel.com reports. The institutional investor owned 361,489 shares of the footwear maker’s stock after acquiring an additional 118,574 shares during the quarter. NIKE accounts for 4.0% of Harbor Island Capital LLC’s portfolio, making the stock its 10th largest position. Harbor Island Capital LLC’s holdings in NIKE were worth $14,839,000 as of its most recent SEC filing.

Other large investors also recently added to or reduced their stakes in the company. Scarborough Advisors LLC purchased a new position in shares of NIKE during the 1st quarter worth $25,000. Cornerstone Financial Management LLC purchased a new stake in shares of NIKE in the 4th quarter worth $26,000. Sankala Group LLC purchased a new stake in shares of NIKE in the 4th quarter worth $26,000. Meeder Asset Management Inc. raised its holdings in NIKE by 108.4% in the 1st quarter. Meeder Asset Management Inc. now owns 548 shares of the footwear maker’s stock worth $29,000 after purchasing an additional 285 shares during the period. Finally, J.Safra Asset Management Corp bought a new position in NIKE in the 4th quarter worth $29,000. 64.25% of the stock is currently owned by institutional investors.

NIKE Stock Down 2.4%

NKE opened at $38.12 on Wednesday. The stock has a market cap of $56.55 billion, a price-to-earnings ratio of 18.24, a price-to-earnings-growth ratio of 1.73 and a beta of 1.10. The company has a debt-to-equity ratio of 0.40, a quick ratio of 1.36 and a current ratio of 1.96. The firm’s fifty day moving average is $41.74 and its 200 day moving average is $46.67. NIKE, Inc. has a fifty-two week low of $37.97 and a fifty-two week high of $76.97.

NIKE (NYSE:NKE) last issued its quarterly earnings results on Tuesday, June 30th. The footwear maker reported $0.20 earnings per share (EPS) for the quarter, topping analysts’ consensus estimates of $0.11 by $0.09. The business had revenue of $10.97 billion during the quarter, compared to analyst estimates of $10.85 billion. NIKE had a return on equity of 16.54% and a net margin of 6.70%.NIKE’s revenue for the quarter was down 1.1% compared to the same quarter last year. During the same quarter in the prior year, the business posted $0.14 EPS. On average, sell-side analysts forecast that NIKE, Inc. will post 1.74 earnings per share for the current fiscal year.

NIKE Announces Dividend

The firm also recently disclosed a quarterly dividend, which will be paid on Thursday, October 1st. Stockholders of record on Tuesday, September 1st will be paid a $0.41 dividend. The ex-dividend date of this dividend is Tuesday, September 1st. This represents a $1.64 dividend on an annualized basis and a dividend yield of 4.3%. NIKE’s dividend payout ratio is 78.47%.

More NIKE News

Here are the key news stories impacting NIKE this week:

• Positive Sentiment: NIKE reinstated the chief commercial officer role and appointed Walmart veteran Jane Ewing, potentially strengthening its commercial execution. The company also announced a partnership with Foot Locker to launch The Crenshaw Rec, a community-focused retail and cultural hub in Los Angeles. Nike Reinstates Chief Commercial Officer Role
• Neutral Sentiment: NIKE’s inventory-reduction program is aimed at clearing excess products and reducing future discounting. While the process may pressure near-term margins, new footwear launches and supply-chain improvements could support profitability over time. NIKE Inventory Cleanup
• Negative Sentiment: JPMorgan reaffirmed its “sell” rating on NIKE, adding pressure to the shares and signaling that the firm sees limited upside at current valuation levels. JPMorgan Reaffirms Sell Rating
• Negative Sentiment: JPMorgan lowered its fiscal 2027 earnings outlook and highlighted rising competition in China, raising concerns about weaker international growth and continued earnings-estimate reductions. JPMorgan Cuts Nike 2027 Earnings Outlook
• Negative Sentiment: NIKE recently underperformed the broader market, reinforcing investor concerns about ongoing brand, demand and execution challenges. Nike Underperforms the General Market

Insiders Place Their Bets

In related news, EVP Philip Mccartney sold 17,398 shares of NIKE stock in a transaction that occurred on Friday, June 12th. The stock was sold at an average price of $46.18, for a total transaction of $803,439.64. Following the sale, the executive vice president owned 53,133 shares of the company’s stock, valued at approximately $2,453,681.94. This trade represents a 24.67% decrease in their position. The sale was disclosed in a document filed with the Securities & Exchange Commission, which can be accessed through this link. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. The sale was made to cover tax withholding obligations related to the vesting of equity awards. Also, CFO Matthew Friend sold 2,463 shares of NIKE stock in a transaction that occurred on Wednesday, August 5th. The shares were sold at an average price of $41.60, for a total value of $102,460.80. Following the sale, the chief financial officer directly owned 82,165 shares in the company, valued at $3,418,064. This trade represents a 2.91% decrease in their position. Additional details regarding this sale are available in the official SEC disclosure. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Over the last three months, insiders have sold 26,142 shares of company stock worth $1,169,380. Company insiders own 1.10% of the company’s stock.

Analyst Upgrades and Downgrades

NKE has been the topic of several analyst reports. Stifel Nicolaus set a $45.00 target price on NIKE and gave the company a “hold” rating in a research report on Wednesday, July 1st. Zacks Research raised NIKE from a “strong sell” rating to a “hold” rating in a research note on Wednesday, August 19th. Rothschild & Co Redburn lowered their price objective on NIKE from $45.00 to $37.00 and set a “sell” rating on the stock in a research report on Friday, July 17th. Robert W. Baird reaffirmed an “outperform” rating and set a $70.00 price objective on shares of NIKE in a research report on Wednesday, July 1st. Finally, Oppenheimer cut their price objective on NIKE from $120.00 to $60.00 and set an “outperform” rating for the company in a research note on Friday, June 26th. One analyst has rated the stock with a Strong Buy rating, twelve have issued a Buy rating, twenty have assigned a Hold rating and four have given a Sell rating to the company. Based on data from MarketBeat, NIKE currently has a consensus rating of “Hold” and a consensus price target of $52.94.

NIKE Company Profile

Nike, Inc (NYSE: NKE) is a global designer, marketer and distributor of athletic footwear, apparel, equipment and accessories. Founded in 1964 as Blue Ribbon Sports by Phil Knight and Bill Bowerman and renamed Nike in 1971, the company is headquartered near Beaverton, Oregon. Nike develops and commercializes products across performance and lifestyle categories for sports including running, basketball, soccer and training, and is known for signature technologies and design-driven product lines.

The company markets products under several primary brands, including Nike, Jordan and Converse, and sells through a combination of wholesale relationships, branded retail stores and direct-to-consumer channels such as company-operated stores and digital platforms (e.g., Nike.com and mobile apps).