NIKE Sees Unusually High Options Volume (NYSE:NKE)

NIKE, Inc. (NYSE:NKE) was the recipient of unusually large options trading activity on Wednesday. Investors acquired 158,594 call options on the company. This is an increase of 66% compared to the typical volume of 95,367 call options.

NIKE News Summary

Here are the key news stories impacting NIKE this week:

• Positive Sentiment: Apple CEO/director Timothy Cook doubled his personal stake (~50,000 shares, ~$2.9M), a high‑visibility insider buy that lifted investor confidence and helped spark the rally. Tim Cook purchase
• Positive Sentiment: Another director, Robert Holmes Swan, also bought ~8,691 shares (~$500k), adding to the insider accumulation narrative that supports near‑term sentiment. Holmes Swan Form 4
• Positive Sentiment: Unusual call‑option activity showed traders positioning for upside, magnifying the short‑term lift in the stock. Options flow story
• Neutral Sentiment: Analyst consensus remains a “Moderate Buy” with mixed price targets; some firms reiterate constructive long‑term views while others are more cautious — useful context but not decisive by itself. Analyst consensus
• Negative Sentiment: Several analysts trimmed price targets (Argus cut to $70; Daiwa to $61), reflecting concerns about near‑term growth and margins and putting downward pressure on valuation expectations. Argus PT cut Daiwa PT cut
• Negative Sentiment: Analyst/industry writeups warn of persistent margin compression, China demand weakness and a high payout ratio — themes that drove the earlier post‑earnings selloff and limit near‑term upside. Margin concerns analysis
• Negative Sentiment: Operational hiccups (e.g., a trademark snag around a nostalgia product critical to World Cup plans) add execution risk for key seasonal initiatives. WSJ trademark hitch

Insider Transactions at NIKE

In other news, Director Timothy D. Cook purchased 50,000 shares of the company’s stock in a transaction that occurred on Monday, December 22nd. The shares were purchased at an average price of $58.97 per share, with a total value of $2,948,500.00. Following the purchase, the director directly owned 105,480 shares of the company’s stock, valued at approximately $6,220,155.60. This represents a 90.12% increase in their position. The transaction was disclosed in a filing with the SEC, which can be accessed through this link. Also, Director Robert Holmes Swan acquired 8,691 shares of the firm’s stock in a transaction on Monday, December 22nd. The stock was purchased at an average cost of $57.54 per share, with a total value of $500,080.14. Following the completion of the transaction, the director owned 43,293 shares in the company, valued at $2,491,079.22. The trade was a 25.12% increase in their ownership of the stock. The disclosure for this purchase is available in the SEC filing. Insiders acquired 74,841 shares of company stock worth $4,451,334 in the last quarter. 0.80% of the stock is owned by corporate insiders.

Institutional Inflows and Outflows

A number of hedge funds and other institutional investors have recently bought and sold shares of NKE. Mascoma Wealth Management LLC acquired a new stake in NIKE in the second quarter worth approximately $26,000. Halbert Hargrove Global Advisors LLC raised its stake in shares of NIKE by 952.6% in the 2nd quarter. Halbert Hargrove Global Advisors LLC now owns 400 shares of the footwear maker’s stock worth $28,000 after buying an additional 362 shares in the last quarter. Saudi Central Bank acquired a new stake in shares of NIKE in the first quarter valued at $30,000. Matrix Trust Co boosted its stake in NIKE by 53.1% during the second quarter. Matrix Trust Co now owns 441 shares of the footwear maker’s stock valued at $31,000 after buying an additional 153 shares in the last quarter. Finally, Twin Peaks Wealth Advisors LLC bought a new position in NIKE during the second quarter valued at about $31,000. 64.25% of the stock is owned by institutional investors and hedge funds.

Analyst Upgrades and Downgrades

Several analysts recently issued reports on the stock. Wall Street Zen raised shares of NIKE from a “sell” rating to a “hold” rating in a report on Saturday, September 6th. Barclays set a $64.00 target price on shares of NIKE and gave the stock an “equal weight” rating in a research report on Friday, December 19th. Morgan Stanley set a $72.00 price target on shares of NIKE and gave the stock a “positive” rating in a research report on Wednesday, October 1st. Citigroup reiterated a “neutral” rating and issued a $65.00 price target (down from $70.00) on shares of NIKE in a research note on Friday, December 19th. Finally, Robert W. Baird lowered their price objective on NIKE from $93.00 to $85.00 and set an “outperform” rating for the company in a report on Friday, December 19th. Two research analysts have rated the stock with a Strong Buy rating, twenty-five have given a Buy rating, ten have assigned a Hold rating and one has assigned a Sell rating to the company’s stock. According to data from MarketBeat, the company currently has an average rating of “Moderate Buy” and an average price target of $75.84.

NIKE Price Performance

NKE opened at $60.08 on Friday. The company has a quick ratio of 1.40, a current ratio of 2.06 and a debt-to-equity ratio of 0.50. The company’s 50-day moving average price is $64.34 and its 200 day moving average price is $69.29. NIKE has a fifty-two week low of $52.28 and a fifty-two week high of $82.44. The firm has a market cap of $88.80 billion, a price-to-earnings ratio of 35.34, a price-to-earnings-growth ratio of 2.57 and a beta of 1.29.

NIKE (NYSE:NKE) last posted its earnings results on Thursday, December 18th. The footwear maker reported $0.53 EPS for the quarter, beating the consensus estimate of $0.37 by $0.16. The company had revenue of $12.43 billion during the quarter, compared to analyst estimates of $12.19 billion. NIKE had a return on equity of 18.43% and a net margin of 5.43%.The business’s revenue was up .6% compared to the same quarter last year. During the same period in the prior year, the company earned $0.78 earnings per share. As a group, sell-side analysts expect that NIKE will post 2.05 earnings per share for the current year.

NIKE Increases Dividend

The company also recently declared a quarterly dividend, which will be paid on Friday, January 2nd. Stockholders of record on Monday, December 1st will be given a dividend of $0.41 per share. This is an increase from NIKE’s previous quarterly dividend of $0.40. This represents a $1.64 annualized dividend and a dividend yield of 2.7%. The ex-dividend date is Monday, December 1st. NIKE’s payout ratio is currently 96.47%.

About NIKE

Nike, Inc (NYSE: NKE) is a global designer, marketer and distributor of athletic footwear, apparel, equipment and accessories. Founded in 1964 as Blue Ribbon Sports by Phil Knight and Bill Bowerman and renamed Nike in 1971, the company is headquartered near Beaverton, Oregon. Nike develops and commercializes products across performance and lifestyle categories for sports including running, basketball, soccer and training, and is known for signature technologies and design-driven product lines.

The company markets products under several primary brands, including Nike, Jordan and Converse, and sells through a combination of wholesale relationships, branded retail stores and direct-to-consumer channels such as company-operated stores and digital platforms (e.g., Nike.com and mobile apps).