NKE Stock Analysis — Nike, Inc.
Sector: Consumer Staples
AI Verdict
Nike is not cheap for a company expected to shrink earnings, so you’re paying a premium the numbers don’t yet support—even with its powerful brand moat.
Competitive Moat
Nike commands global brand recognition and a vast distribution network, allowing it to charge premium prices and maintain shelf space in both physical and digital retail. Its moat is reinforced by exclusive athlete partnerships and a massive marketing engine that competitors struggle to match.
Summary
Nike’s stock is under pressure as forward earnings are expected to shrink by -12.1% despite a 22.9x forward P/E.
Where It Stands
Nike is down -42.82% over the past year, trades at 22.9x next year’s earnings (above the sector median of 20x), and its RSI of 38.6 signals it is nearing oversold territory.
Key Metrics
- RSI: 38.6 — Near Oversold
- Trailing P/E: 20.1x
- Forward P/E: 22.9x
- PEG Ratio: 1.51
- Earnings Growth: -0.1%
- Revenue Growth: +0.0%
- Market Cap: $62.4B
- Dividend Yield: 0.04%
- 1-Year Return: -42.82%
- 52-Week High: $80.17
- 52-Week Low: $40.00
Analyst Consensus
18 Buy · 25 Hold · 2 Sell (45 analysts) · Target $52.00
Bull Case
With a trailing P/E of 20.1x and a global brand moat, any stabilization or surprise in earnings could prompt a rebound from current RSI levels.
Bear Case
If the forward P/E of 22.9x holds while EPS drops -12.1%, further P/E compression to the sector median of 20x would mean another ~13% downside from here.
Catalyst to Watch
Watch for quarterly earnings updates—any sign of a turnaround in EPS growth could quickly shift sentiment given the oversold RSI.