NIKE INC -CL B (NKE.DE) Stock Fundamental Analysis
Europe - FRA:NKE - US6541061031 - Common Stock
57.77 EUR
+0.01 (+0.02%)
Overall NKE gets a fundamental rating of 6 out of 10. We evaluated NKE against 49 industry peers in the Textiles, Apparel & Luxury Goods industry. NKE gets an excellent profitability rating and is at the same time showing great financial health properties. While showing a medium growth rate, NKE is valued expensive at the moment.
1. Profitability
1.1 Basic Checks
NKE had positive earnings in the past year.
NKE had a positive operating cash flow in the past year.
NKE had positive earnings in each of the past 5 years.
Each year in the past 5 years NKE had a positive operating cash flow.
1.2 Ratios
NKE has a Return On Assets of 7.75%. This is in the better half of the industry: NKE outperforms 75.51% of its industry peers.
With an excellent Return On Equity value of 21.50%, NKE belongs to the best of the industry, outperforming 81.63% of the companies in the same industry.
NKE has a Return On Invested Capital (10.87%) which is in line with its industry peers.
Measured over the past 3 years, the Average Return On Invested Capital for NKE is significantly above the industry average of 11.06%.
The 3 year average ROIC (16.64%) for NKE is well above the current ROIC(10.87%). The reason for the recent decline needs to be investigated.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 7.75% | ||
| ROE | 21.5% | ||
| ROIC | 10.87% |
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
NKE has a better Profit Margin (6.23%) than 67.35% of its industry peers.
In the last couple of years the Profit Margin of NKE has remained more or less at the same level.
Looking at the Operating Margin, with a value of 7.36%, NKE is in line with its industry, outperforming 42.86% of the companies in the same industry.
In the last couple of years the Operating Margin of NKE has remained more or less at the same level.
With a Gross Margin value of 41.94%, NKE is not doing good in the industry: 83.67% of the companies in the same industry are doing better.
In the last couple of years the Gross Margin of NKE has remained more or less at the same level.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 7.36% | ||
| PM (TTM) | 6.23% | ||
| GM | 41.94% |
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
With a Return on Invested Capital (ROIC) just above the Cost of Capital (WACC), NKE is creating some value.
Compared to 1 year ago, NKE has less shares outstanding
Compared to 5 years ago, NKE has less shares outstanding
NKE has a better debt/assets ratio than last year.
2.2 Solvency
An Altman-Z score of 4.44 indicates that NKE is not in any danger for bankruptcy at the moment.
NKE has a better Altman-Z score (4.44) than 81.63% of its industry peers.
NKE has a debt to FCF ratio of 2.66. This is a good value and a sign of high solvency as NKE would need 2.66 years to pay back of all of its debts.
NKE's Debt to FCF ratio of 2.66 is fine compared to the rest of the industry. NKE outperforms 77.55% of its industry peers.
NKE has a Debt/Equity ratio of 0.59. This is a neutral value indicating NKE is somewhat dependend on debt financing.
NKE's Debt to Equity ratio of 0.59 is in line compared to the rest of the industry. NKE outperforms 51.02% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.59 | ||
| Debt/FCF | 2.66 | ||
| Altman-Z | 4.44 |
ROIC/WACC1.08
WACC10.04%
2.3 Liquidity
A Current Ratio of 2.19 indicates that NKE has no problem at all paying its short term obligations.
The Current ratio of NKE (2.19) is better than 77.55% of its industry peers.
A Quick Ratio of 1.45 indicates that NKE should not have too much problems paying its short term obligations.
With an excellent Quick ratio value of 1.45, NKE belongs to the best of the industry, outperforming 85.71% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 2.19 | ||
| Quick Ratio | 1.45 |
3. Growth
3.1 Past
NKE shows a strong negative growth in Earnings Per Share. In the last year the EPS decreased by -42.40%.
Measured over the past 5 years, NKE shows a small growth in Earnings Per Share. The EPS has been growing by 3.37% on average per year.
NKE shows a decrease in Revenue. In the last year, the revenue decreased by -7.14%.
The Revenue has been growing slightly by 4.36% on average over the past years.
EPS 1Y (TTM)-42.4%
EPS 3Y-16.87%
EPS 5Y3.37%
EPS Q2Q%-29.74%
Revenue 1Y (TTM)-7.14%
Revenue growth 3Y-0.29%
Revenue growth 5Y4.36%
Sales Q2Q%1.13%
3.2 Future
NKE is expected to show quite a strong growth in Earnings Per Share. In the coming years, the EPS will grow by 17.01% yearly.
The Revenue is expected to grow by 4.91% on average over the next years.
EPS Next Y-22.32%
EPS Next 2Y7.15%
EPS Next 3Y12.5%
EPS Next 5Y17.01%
Revenue Next Year1.65%
Revenue Next 2Y3.42%
Revenue Next 3Y3.94%
Revenue Next 5Y4.91%
3.3 Evolution
When comparing the EPS growth rate of the last years to the growth rate of the upcoming years, we see that the growth is accelerating.
The Revenue growth rate is stable: in the next years the growth will be about the same than in the last years.
4. Valuation
4.1 Price/Earnings Ratio
NKE is valuated quite expensively with a Price/Earnings ratio of 31.23.
Compared to the rest of the industry, the Price/Earnings ratio of NKE is on the same level as its industry peers.
The average S&P500 Price/Earnings ratio is at 27.40. NKE is around the same levels.
NKE is valuated quite expensively with a Price/Forward Earnings ratio of 27.14.
NKE's Price/Forward Earnings is on the same level as the industry average.
NKE is valuated at similar levels of the S&P average when we compare the Price/Forward Earnings ratio to 22.94, which is the current average of the S&P500 Index.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 31.23 | ||
| Fwd PE | 27.14 |
4.2 Price Multiples
77.55% of the companies in the same industry are cheaper than NKE, based on the Enterprise Value to EBITDA ratio.
Based on the Price/Free Cash Flow ratio, NKE is valued a bit more expensive than the industry average as 63.27% of the companies are valued more cheaply.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 33.03 | ||
| EV/EBITDA | 22.99 |
4.3 Compensation for Growth
The decent profitability rating of NKE may justify a higher PE ratio.
NKE's earnings are expected to grow with 12.50% in the coming years. This may justify a more expensive valuation.
PEG (NY)N/A
PEG (5Y)9.26
EPS Next 2Y7.15%
EPS Next 3Y12.5%
5. Dividend
5.1 Amount
NKE has a Yearly Dividend Yield of 2.35%.
Compared to an average industry Dividend Yield of 3.07, NKE pays a bit more dividend than its industry peers.
Compared to an average S&P500 Dividend Yield of 2.38, NKE has a dividend comparable with the average S&P500 company.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 2.35% |
5.2 History
The dividend of NKE is nicely growing with an annual growth rate of 10.70%!
Dividend Growth(5Y)10.7%
Div Incr Years6
Div Non Decr Years6
5.3 Sustainability
80.59% of the earnings are spent on dividend by NKE. This is not a sustainable payout ratio.
NKE's earnings are growing more than its dividend. This makes the dividend growth sustainable.
DP80.59%
EPS Next 2Y7.15%
EPS Next 3Y12.5%
FRA:NKE (10/17/2025, 7:00:00 PM)
57.77
+0.01 (+0.02%)
Chartmill FA Rating
GICS SectorConsumer Discretionary
GICS IndustryGroupConsumer Durables & Apparel
GICS IndustryTextiles, Apparel & Luxury Goods
Earnings (Last)
Earnings (Next)
Inst Owners84.27%
Inst Owner ChangeN/A
Ins Owners0.67%
Ins Owner ChangeN/A
Market Cap85.32B
Analysts73.02
Price Target69.26 (19.89%)
Short Float %N/A
Short RatioN/A
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 2.35% |
Yearly Dividend1.33
Dividend Growth(5Y)10.7%
DP80.59%
Div Incr Years6
Div Non Decr Years6
Ex-DateN/A
Surprises & Revisions
EPS beat(2)N/A
Avg EPS beat(2)N/A
Min EPS beat(2)N/A
Max EPS beat(2)N/A
EPS beat(4)N/A
Avg EPS beat(4)N/A
Min EPS beat(4)N/A
Max EPS beat(4)N/A
EPS beat(8)N/A
Avg EPS beat(8)N/A
EPS beat(12)N/A
Avg EPS beat(12)N/A
EPS beat(16)N/A
Avg EPS beat(16)N/A
Revenue beat(2)2
Avg Revenue beat(2)3.96%
Min Revenue beat(2)2.46%
Max Revenue beat(2)5.46%
Revenue beat(4)4
Avg Revenue beat(4)2.54%
Min Revenue beat(4)0.86%
Max Revenue beat(4)5.46%
Revenue beat(8)5
Avg Revenue beat(8)0.6%
Revenue beat(12)8
Avg Revenue beat(12)1.35%
Revenue beat(16)11
Avg Revenue beat(16)1.28%
PT rev (1m)0.72%
PT rev (3m)7.26%
EPS NQ rev (1m)-0.55%
EPS NQ rev (3m)-2.58%
EPS NY rev (1m)-0.01%
EPS NY rev (3m)-13.76%
Revenue NQ rev (1m)0.04%
Revenue NQ rev (3m)0.18%
Revenue NY rev (1m)1.79%
Revenue NY rev (3m)3.15%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 31.23 | ||
| Fwd PE | 27.14 | ||
| P/S | 2.14 | ||
| P/FCF | 33.03 | ||
| P/OCF | 28.19 | ||
| P/B | 7.38 | ||
| P/tB | 7.66 | ||
| EV/EBITDA | 22.99 |
EPS(TTM)1.85
EY3.2%
EPS(NY)2.13
Fwd EY3.69%
FCF(TTM)1.75
FCFY3.03%
OCF(TTM)2.05
OCFY3.55%
SpS26.99
BVpS7.83
TBVpS7.54
PEG (NY)N/A
PEG (5Y)9.26
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 7.75% | ||
| ROE | 21.5% | ||
| ROCE | 12.94% | ||
| ROIC | 10.87% | ||
| ROICexc | 16.09% | ||
| ROICexgc | 16.55% | ||
| OM | 7.36% | ||
| PM (TTM) | 6.23% | ||
| GM | 41.94% | ||
| FCFM | 6.48% |
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 Turnover1.24
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.59 | ||
| Debt/FCF | 2.66 | ||
| Debt/EBITDA | 1.89 | ||
| Cap/Depr | 63.83% | ||
| Cap/Sales | 1.11% | ||
| Interest Coverage | 250 | ||
| Cash Conversion | 83.36% | ||
| Profit Quality | 103.94% | ||
| Current Ratio | 2.19 | ||
| Quick Ratio | 1.45 | ||
| Altman-Z | 4.44 |
F-Score4
WACC10.04%
ROIC/WACC1.08
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%-29.74%
EPS Next Y-22.32%
EPS Next 2Y7.15%
EPS Next 3Y12.5%
EPS Next 5Y17.01%
Revenue 1Y (TTM)-7.14%
Revenue growth 3Y-0.29%
Revenue growth 5Y4.36%
Sales Q2Q%1.13%
Revenue Next Year1.65%
Revenue Next 2Y3.42%
Revenue Next 3Y3.94%
Revenue Next 5Y4.91%
EBIT growth 1Y-45.67%
EBIT growth 3Y-17.84%
EBIT growth 5Y3.51%
EBIT Next Year1.76%
EBIT Next 3Y19.11%
EBIT Next 5Y19.88%
FCF growth 1Y-32.53%
FCF growth 3Y-9.64%
FCF growth 5Y18.49%
OCF growth 1Y-34.92%
OCF growth 3Y-10.67%
OCF growth 5Y8.27%