Editor's Note: Any reference to TheStreet Ratings and its underlying recommendation does not reflect the opinion of TheStreet, Inc. or any of its contributors including Jim Cramer.
Trade-Ideas LLC identified
) as a new lifetime high candidate. In addition to specific proprietary factors, Trade-Ideas identified Nike as such a stock due to the following factors:
- NKE has an average dollar-volume (as measured by average daily share volume multiplied by share price) of $337.9 million.
- NKE has traded 92,903 shares today.
- NKE is trading at a new lifetime high.
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More details on NKE:
NIKE, Inc., together with its subsidiaries, designs, develops, markets, and sells athletic footwear, apparel, equipment, and accessories for men, women, and kids worldwide. The stock currently has a dividend yield of 1%. NKE has a PE ratio of 3. Currently there are 13 analysts that rate Nike a buy, no analysts rate it a sell, and 8 rate it a hold.
The average volume for Nike has been 2.9 million shares per day over the past 30 days. Nike has a market cap of $75.7 billion and is part of the consumer goods sector and consumer non-durables industry. The stock has a beta of 0.70 and a short float of 1.3% with 2.42 days to cover. Shares are up 18% year-to-date as of the close of trading on Tuesday.
rates Nike as a
. The company's strengths can be seen in multiple areas, such as its solid stock price performance, impressive record of earnings per share growth, compelling growth in net income, revenue growth and largely solid financial position with reasonable debt levels by most measures. Although no company is perfect, currently we do not see any significant weaknesses which are likely to detract from the generally positive outlook.
Highlights from the ratings report include:
- Powered by its strong earnings growth of 25.64% and other important driving factors, this stock has surged by 47.34% over the past year, outperforming the rise in the S&P 500 Index during the same period. Regarding the stock's future course, although almost any stock can fall in a broad market decline, NKE should continue to move higher despite the fact that it has already enjoyed a very nice gain in the past year.
- NIKE INC has improved earnings per share by 25.6% in the most recent quarter compared to the same quarter a year ago. The company has demonstrated a pattern of positive earnings per share growth over the past two years. We feel that this trend should continue. During the past fiscal year, NIKE INC increased its bottom line by earning $3.70 versus $2.98 in the prior year. This year, the market expects an improvement in earnings ($4.18 versus $3.70).
- The net income growth from the same quarter one year ago has greatly exceeded that of the S&P 500, but is less than that of the Textiles, Apparel & Luxury Goods industry average. The net income increased by 23.9% when compared to the same quarter one year prior, going from $698.00 million to $865.00 million.
- Despite its growing revenue, the company underperformed as compared with the industry average of 9.9%. Since the same quarter one year prior, revenues slightly increased by 4.8%. Growth in the company's revenue appears to have helped boost the earnings per share.
- NKE's debt-to-equity ratio is very low at 0.10 and is currently below that of the industry average, implying that there has been very successful management of debt levels. Along with the favorable debt-to-equity ratio, the company maintains an adequate quick ratio of 1.47, which illustrates the ability to avoid short-term cash problems.
- You can view the full Nike Ratings Report.