NKE Stock Analysis — Nike, Inc.
Sector: Consumer staples
AI Verdict
Nike trades at 24.6x next year's earnings while analysts expect profits to shrink, so you're paying up for a brand moat that faces real pressure unless earnings recover.
Competitive Moat
Nike's moat comes from its global brand power and exclusive athlete endorsements, which create consumer loyalty and pricing power. Its direct-to-consumer distribution and proprietary product designs make it hard for competitors to replicate its market presence.
Summary
Nike is notable right now for a rare projected -20.3% drop in earnings despite a 19.6x trailing P/E.
Where It Stands
Nike is down -46.72% over the past year, trades at 24.6x forward earnings versus a 20x sector median, and its RSI of 46.5 signals cooling momentum.
Key Metrics
- RSI: 46.5 — Neutral
- Trailing P/E: 19.6x
- Forward P/E: 24.6x
- Earnings Growth: -0.2%
- Revenue Growth: +0.0%
- Market Cap: $61.0B
- Dividend Yield: 0.04%
- 1-Year Return: -46.72%
- 52-Week High: $80.17
- 52-Week Low: $40.00
Analyst Consensus
18 Buy · 26 Hold · 2 Sell (46 analysts) · Target $68.00
Bull Case
Nike's 19.6x trailing P/E is below the sector median, suggesting some brand value is still recognized despite recent underperformance.
Bear Case
With forward earnings expected to fall -20.3% and the P/E rising to 24.6x, any further P/E compression to the sector median would mean another 19% downside from here.
Catalyst to Watch
Watch for quarterly earnings updates—if management can reverse the -20.3% EPS decline, the valuation could stabilize.