NIKE INC -CL B (1NKE.MI) Stock Fundamental Analysis
BIT:1NKE - Euronext Milan - US6541061031 - Common Stock - Currency: EUR
1NKE gets a fundamental rating of 6 out of 10. The analysis compared the fundamentals against 44 industry peers in the Textiles, Apparel & Luxury Goods industry. Both the health and profitability get an excellent rating, making 1NKE a very profitable company, without any liquidiy or solvency issues. While showing a medium growth rate, 1NKE is valued expensive at the moment.
1. Profitability
1.1 Basic Checks
In the past year 1NKE was profitable.
In the past year 1NKE had a positive cash flow from operations.
Each year in the past 5 years 1NKE has been profitable.
In the past 5 years 1NKE always reported a positive cash flow from operatings.
1.2 Ratios
With a decent Return On Assets value of 8.80%, 1NKE is doing good in the industry, outperforming 79.55% of the companies in the same industry.
1NKE has a Return On Equity of 24.36%. This is amongst the best in the industry. 1NKE outperforms 81.82% of its industry peers.
Looking at the Return On Invested Capital, with a value of 11.95%, 1NKE is in the better half of the industry, outperforming 77.27% of the companies in the same industry.
Measured over the past 3 years, the Average Return On Invested Capital for 1NKE is significantly above the industry average of 11.54%.
The last Return On Invested Capital (11.95%) for 1NKE is well below the 3 year average (16.64%), which needs to be investigated, but indicates that 1NKE had better years and this may not be a problem.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 8.8% | ||
| ROE | 24.36% | ||
| ROIC | 11.95% |
ROA(3y)12.42%
ROA(5y)13.49%
ROE(3y)33.36%
ROE(5y)36.9%
ROIC(3y)16.64%
ROIC(5y)18.07%
1.3 Margins
Looking at the Profit Margin, with a value of 6.95%, 1NKE is in the better half of the industry, outperforming 63.64% of the companies in the same industry.
1NKE's Profit Margin has been stable in the last couple of years.
1NKE's Operating Margin of 7.99% is in line compared to the rest of the industry. 1NKE outperforms 40.91% of its industry peers.
1NKE's Operating Margin has been stable in the last couple of years.
The Gross Margin of 1NKE (42.73%) is worse than 88.64% of its industry peers.
In the last couple of years the Gross Margin of 1NKE has remained more or less at the same level.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 7.99% | ||
| PM (TTM) | 6.95% | ||
| GM | 42.73% |
OM growth 3Y-17.6%
OM growth 5Y-0.82%
PM growth 3Y-18.72%
PM growth 5Y0.48%
GM growth 3Y-2.41%
GM growth 5Y-0.32%
2. Health
2.1 Basic Checks
The Return on Invested Capital (ROIC) is well above the Cost of Capital (WACC), so 1NKE is creating value.
The number of shares outstanding for 1NKE has been reduced compared to 1 year ago.
1NKE has less shares outstanding than it did 5 years ago.
1NKE has a better debt/assets ratio than last year.
2.2 Solvency
An Altman-Z score of 4.82 indicates that 1NKE is not in any danger for bankruptcy at the moment.
The Altman-Z score of 1NKE (4.82) is better than 81.82% of its industry peers.
1NKE has a debt to FCF ratio of 2.44. This is a good value and a sign of high solvency as 1NKE would need 2.44 years to pay back of all of its debts.
With a decent Debt to FCF ratio value of 2.44, 1NKE is doing good in the industry, outperforming 77.27% of the companies in the same industry.
1NKE has a Debt/Equity ratio of 0.60. This is a neutral value indicating 1NKE is somewhat dependend on debt financing.
1NKE's Debt to Equity ratio of 0.60 is in line compared to the rest of the industry. 1NKE outperforms 50.00% of its industry peers.
Even though the debt/equity ratio score it not favorable for 1NKE, it has very limited outstanding debt, so we won't put too much weight on the DE evaluation.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.6 | ||
| Debt/FCF | 2.44 | ||
| Altman-Z | 4.82 |
ROIC/WACC1.41
WACC8.5%
2.3 Liquidity
1NKE has a Current Ratio of 2.21. This indicates that 1NKE is financially healthy and has no problem in meeting its short term obligations.
The Current ratio of 1NKE (2.21) is better than 75.00% of its industry peers.
1NKE has a Quick Ratio of 1.50. This is a normal value and indicates that 1NKE is financially healthy and should not expect problems in meeting its short term obligations.
Looking at the Quick ratio, with a value of 1.50, 1NKE is in the better half of the industry, outperforming 77.27% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 2.21 | ||
| Quick Ratio | 1.5 |
3. Growth
3.1 Past
1NKE shows a strong negative growth in Earnings Per Share. In the last year the EPS decreased by -42.40%.
The Earnings Per Share has been growing slightly by 3.37% on average over the past years.
Looking at the last year, 1NKE shows a decrease in Revenue. The Revenue has decreased by -9.84% in the last year.
1NKE shows a small growth in Revenue. Measured over the last years, the Revenue has been growing by 4.36% yearly.
EPS 1Y (TTM)-42.4%
EPS 3Y-16.87%
EPS 5Y3.37%
EPS Q2Q%-86.14%
Revenue 1Y (TTM)-9.84%
Revenue growth 3Y-0.29%
Revenue growth 5Y4.36%
Sales Q2Q%-11.97%
3.2 Future
The Earnings Per Share is expected to grow by 19.35% on average over the next years. This is quite good.
Based on estimates for the next years, 1NKE will show a small growth in Revenue. The Revenue will grow by 4.29% on average per year.
EPS Next Y-22.39%
EPS Next 2Y6.67%
EPS Next 3Y13.05%
EPS Next 5Y19.35%
Revenue Next Year-0.23%
Revenue Next 2Y2.38%
Revenue Next 3Y3.24%
Revenue Next 5Y4.29%
3.3 Evolution
The EPS growth rate is accelerating: in the next years the growth will be better than in the last years.
When comparing the Revenue growth rate of the last years to the growth rate of the upcoming years, we see that the growth is stable.
4. Valuation
4.1 Price/Earnings Ratio
A Price/Earnings ratio of 34.66 indicates a quite expensive valuation of 1NKE.
1NKE's Price/Earnings ratio is a bit more expensive when compared to the industry. 1NKE is more expensive than 65.91% of the companies in the same industry.
The average S&P500 Price/Earnings ratio is at 26.48. 1NKE is valued slightly more expensive when compared to this.
A Price/Forward Earnings ratio of 44.55 indicates a quite expensive valuation of 1NKE.
Compared to the rest of the industry, the Price/Forward Earnings ratio of 1NKE indicates a slightly more expensive valuation: 1NKE is more expensive than 65.91% of the companies listed in the same industry.
The average S&P500 Price/Forward Earnings ratio is at 34.04. 1NKE is valued slightly more expensive when compared to this.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 34.66 | ||
| Fwd PE | 44.55 |
4.2 Price Multiples
Based on the Enterprise Value to EBITDA ratio, 1NKE is valued a bit more expensive than 79.55% of the companies in the same industry.
1NKE's Price/Free Cash Flow ratio is a bit more expensive when compared to the industry. 1NKE is more expensive than 79.55% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 33.75 | ||
| EV/EBITDA | 23.82 |
4.3 Compensation for Growth
The decent profitability rating of 1NKE may justify a higher PE ratio.
A more expensive valuation may be justified as 1NKE's earnings are expected to grow with 13.05% in the coming years.
PEG (NY)N/A
PEG (5Y)10.28
EPS Next 2Y6.67%
EPS Next 3Y13.05%
5. Dividend
5.1 Amount
1NKE has a Yearly Dividend Yield of 2.15%. Purely for dividend investing, there may be better candidates out there.
Compared to an average industry Dividend Yield of 3.35, 1NKE has a dividend in line with its industry peers.
1NKE's Dividend Yield is comparable with the S&P500 average which is at 2.39.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 2.15% |
5.2 History
The dividend of 1NKE is nicely growing with an annual growth rate of 10.70%!
Dividend Growth(5Y)10.7%
Div Incr Years0
Div Non Decr Years0
5.3 Sustainability
1NKE pays out 71.45% of its income as dividend. This is not a sustainable payout ratio.
The dividend of 1NKE is growing, but earnings are growing more, so the dividend growth is sustainable.
DP71.45%
EPS Next 2Y6.67%
EPS Next 3Y13.05%
BIT:1NKE (8/7/2025, 7:00:00 PM)
64.12
-0.98 (-1.51%)
Chartmill FA Rating
GICS SectorConsumer Discretionary
GICS IndustryGroupConsumer Durables & Apparel
GICS IndustryTextiles, Apparel & Luxury Goods
Earnings (Last)
Earnings (Next)
Inst Owners84.88%
Inst Owner ChangeN/A
Ins Owners0.67%
Ins Owner ChangeN/A
Market Cap94.70B
Analysts72.09
Price Target67.31 (4.98%)
Short Float %N/A
Short RatioN/A
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 2.15% |
Yearly Dividend1.33
Dividend Growth(5Y)10.7%
DP71.45%
Div Incr Years0
Div Non Decr Years0
Ex-DateN/A
Surprises & Revisions
EPS beat(2)2
Avg EPS beat(2)45.52%
Min EPS beat(2)7.49%
Max EPS beat(2)83.55%
EPS beat(4)4
Avg EPS beat(4)36.55%
Min EPS beat(4)7.49%
Max EPS beat(4)83.55%
EPS beat(8)8
Avg EPS beat(8)26.91%
EPS beat(12)11
Avg EPS beat(12)23.86%
EPS beat(16)15
Avg EPS beat(16)21.98%
Revenue beat(2)2
Avg Revenue beat(2)1.92%
Min Revenue beat(2)1.38%
Max Revenue beat(2)2.46%
Revenue beat(4)3
Avg Revenue beat(4)0.8%
Min Revenue beat(4)-1.47%
Max Revenue beat(4)2.46%
Revenue beat(8)4
Avg Revenue beat(8)-0.24%
Revenue beat(12)8
Avg Revenue beat(12)1.09%
Revenue beat(16)10
Avg Revenue beat(16)0.77%
PT rev (1m)4.14%
PT rev (3m)0.66%
EPS NQ rev (1m)-0.27%
EPS NQ rev (3m)-26.33%
EPS NY rev (1m)0%
EPS NY rev (3m)-16.02%
Revenue NQ rev (1m)-0.02%
Revenue NQ rev (3m)1.77%
Revenue NY rev (1m)0.09%
Revenue NY rev (3m)1.29%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 34.66 | ||
| Fwd PE | 44.55 | ||
| P/S | 2.38 | ||
| P/FCF | 33.75 | ||
| P/OCF | 29.83 | ||
| P/B | 8.35 | ||
| P/tB | 8.68 | ||
| EV/EBITDA | 23.82 |
EPS(TTM)1.85
EY2.89%
EPS(NY)1.44
Fwd EY2.24%
FCF(TTM)1.9
FCFY2.96%
OCF(TTM)2.15
OCFY3.35%
SpS26.92
BVpS7.68
TBVpS7.39
PEG (NY)N/A
PEG (5Y)10.28
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 8.8% | ||
| ROE | 24.36% | ||
| ROCE | 14.23% | ||
| ROIC | 11.95% | ||
| ROICexc | 18.43% | ||
| ROICexgc | 18.99% | ||
| OM | 7.99% | ||
| PM (TTM) | 6.95% | ||
| GM | 42.73% | ||
| FCFM | 7.06% |
ROA(3y)12.42%
ROA(5y)13.49%
ROE(3y)33.36%
ROE(5y)36.9%
ROIC(3y)16.64%
ROIC(5y)18.07%
ROICexc(3y)27.29%
ROICexc(5y)31.4%
ROICexgc(3y)28.17%
ROICexgc(5y)32.46%
ROCE(3y)19.82%
ROCE(5y)21.52%
ROICexcg growth 3Y-18.4%
ROICexcg growth 5Y0.36%
ROICexc growth 3Y-18.27%
ROICexc growth 5Y0.46%
OM growth 3Y-17.6%
OM growth 5Y-0.82%
PM growth 3Y-18.72%
PM growth 5Y0.48%
GM growth 3Y-2.41%
GM growth 5Y-0.32%
F-Score4
Asset Turnover1.27
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.6 | ||
| Debt/FCF | 2.44 | ||
| Debt/EBITDA | 1.77 | ||
| Cap/Depr | 53.22% | ||
| Cap/Sales | 0.93% | ||
| Interest Coverage | 9.52 | ||
| Cash Conversion | 82% | ||
| Profit Quality | 101.52% | ||
| Current Ratio | 2.21 | ||
| Quick Ratio | 1.5 | ||
| Altman-Z | 4.82 |
F-Score4
WACC8.5%
ROIC/WACC1.41
Cap/Depr(3y)87.41%
Cap/Depr(5y)87.93%
Cap/Sales(3y)1.47%
Cap/Sales(5y)1.52%
Profit Quality(3y)104.57%
Profit Quality(5y)98.22%
High Growth Momentum
Growth
EPS 1Y (TTM)-42.4%
EPS 3Y-16.87%
EPS 5Y3.37%
EPS Q2Q%-86.14%
EPS Next Y-22.39%
EPS Next 2Y6.67%
EPS Next 3Y13.05%
EPS Next 5Y19.35%
Revenue 1Y (TTM)-9.84%
Revenue growth 3Y-0.29%
Revenue growth 5Y4.36%
Sales Q2Q%-11.97%
Revenue Next Year-0.23%
Revenue Next 2Y2.38%
Revenue Next 3Y3.24%
Revenue Next 5Y4.29%
EBIT growth 1Y-44.66%
EBIT growth 3Y-17.84%
EBIT growth 5Y3.51%
EBIT Next Year1.98%
EBIT Next 3Y18.05%
EBIT Next 5Y21.02%
FCF growth 1Y-50.61%
FCF growth 3Y-9.64%
FCF growth 5Y18.49%
OCF growth 1Y-50.22%
OCF growth 3Y-10.67%
OCF growth 5Y8.27%