Nike Upgraded to “Overweight” by Morgan Stanley (NKE)
Nike (NYSE:NKE) was upgraded by equities research analysts at Morgan Stanley from an “equal weight” rating to an “overweight” rating in a research note issued to investors on Wednesday, AnalystRatings.Net reports. The firm currently has a $85.00 price target on the stock. Morgan Stanley’s price objective suggests a potential upside of 11.75% from the company’s current price.
The analysts wrote, “Nike dominates the industry and we think it’s at a tipping point of major EPS growth acceleration sustaining a 17% 4-year EPS CAGR. Nike’s powerful balance sheet is helping it create a virtuous circle of outsized investment spending, operational excellence, brand strength, and ROIC gains. Bears say valuation is too high and Nike is too big to grow sales at the Street’s forecasted high single digit rate. Our view is NKE can deliver a 10% annual 3-year total shareholder return even if its P/E falls to its LT avg.”
In other Nike news, VP David J. Ayre sold 42,500 shares of the company’s stock in a transaction dated Monday, October 28th. The stock was sold at an average price of $75.76, for a total value of $3,219,800.00. The transaction was disclosed in a document filed with the SEC, which can be accessed through this link.
Nike (NYSE:NKE) opened at 76.06 on Wednesday. Nike has a 52-week low of $44.825 and a 52-week high of $76.89. The stock’s 50-day moving average is $72.52 and its 200-day moving average is $65.78. The company has a market cap of $67.660 billion and a price-to-earnings ratio of 25.57.
Nike (NYSE:NKE) last announced its earnings results on Thursday, September 26th. The company reported $0.86 earnings per share for the quarter, beating the analysts’ consensus estimate of $0.78 by $0.08. The company had revenue of $7.80 billion for the quarter, compared to the consensus estimate of $6.97 billion. During the same quarter last year, the company posted $1.23 earnings per share. Nike’s revenue was up 7.7% compared to the same quarter last year. On average, analysts predict that Nike will post $3.05 earnings per share for the current fiscal year.
A number of other firms have also recently commented on NKE. Analysts at HSBC raised their price target on shares of Nike from $67.00 to $85.00 in a research note to investors on Monday, October 21st. They now have an “overweight” rating on the stock. Separately, analysts at DA Davidson raised their price target on shares of Nike from $75.00 to $76.00 in a research note to investors on Friday, October 11th. They now have a “neutral” rating on the stock. Finally, analysts at Telsey Advisory Group raised their price target on shares of Nike from $74.00 to $76.00 in a research note to investors on Friday, October 11th. They now have a “not rated” rating on the stock. Eleven investment analysts have rated the stock with a hold rating, sixteen have given a buy rating and one has given a strong buy rating to the company’s stock. The company presently has a consensus rating of “Buy” and a consensus target price of $78.14.
NIKE, Inc (NYSE:NKE) is engaged in the design, development and worldwide marketing and selling of footwear, apparel, equipment, accessories and services.
Get Analysts' Upgrades and Downgrades via Email - Stay on top of analysts' coverage with Analyst Ratings Network's FREE daily email newsletter that provides a concise list of analysts' upgrades and downgrades. Click here to register now.