Nike IncFind Ratings Reports
NIKE INC's gross profit margin for the fourth quarter of its fiscal year 2016 has decreased when compared to the same period a year ago. The company has grown its sales and net income during the past quarter when compared with the same quarter a year ago, and although its growth in net income has outpaced the industry average, its revenue growth has not. NIKE INC has strong liquidity. Currently, the Quick Ratio is 1.80 which shows the ability to cover short-term cash needs. The company managed to increase its liquidity from the same period a year ago, despite already having strong liquidity to begin with. This would indicate improved cash flow.
At the same time, stockholders' equity ("net worth") has remained virtually unchanged only increasing by 1.21% from the same quarter last year. The key liquidity measurements indicate that the company is unlikely to face financial difficulties in the near future.
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|Income Statement||Q4 FY16||Q4 FY15|
|Net Sales ($mil)||8677.0||8244.0|
|Net Income ($mil)||1008.0||846.0|
|Balance Sheet||Q4 FY16||Q4 FY15|
|Cash & Equiv. ($mil)||6179.0||5457.0|
|Total Assets ($mil)||23259.0||21396.0|
|Total Debt ($mil)||3802.0||2070.0|
|Profitability||Q4 FY16||Q4 FY15|
|Gross Profit Margin||44.06||47.96|
|Return on Assets||18.22||17.57|
|Return on Equity||34.17||30.67|
|Debt||Q4 FY16||Q4 FY15|
|Share Data||Q4 FY16||Q4 FY15|
|Shares outstanding (mil)||1652.0||1682.0|
|Div / share||0.18||0.16|
|Book value / share||7.51||7.29|
|Institutional Own %||n/a||n/a|
|Avg Daily Volume||1.0434922E7||9125350.0|
BUY. NIKE INC's P/E ratio indicates a discount compared to an average of 29.44 for the Textiles, Apparel & Luxury Goods industry and a value on par with the S&P 500 average of 24.66. For additional comparison, its price-to-book ratio of 7.87 indicates a significant premium versus the S&P 500 average of 3.07 and a significant premium versus the industry average of 5.73. The price-to-sales ratio is well above both the S&P 500 average and the industry average, indicating a premium.
|NKE 23.55||Peers 29.44||NKE NA||Peers 14.07|
Discount. A lower P/E ratio than its peers can signify a less expensive stock or lower growth expectations.
NKE is trading at a discount to its peers.
Neutral. The P/CF ratio is the stock’s price divided by the sum of the company's cash flow from operations. It is useful for comparing companies with different capital requirements or financing structures.
Ratio not available.
|NKE 21.18||Peers 20.98||NKE NM||Peers 2.16|
Premium. A higher price-to-projected earnings ratio than its peers can signify a more expensive stock or higher future growth expectations.
NKE is trading at a premium to its peers.
Neutral. The PEG ratio is the stock’s P/E divided by the consensus estimate of long-term earnings growth. Faster growth can justify higher price multiples.
NKE's negative PEG ratio makes this valuation measure meaningless.
|NKE 7.87||Peers 5.73||NKE 16.20||Peers 12.43|
Premium. A higher price-to-book ratio makes a stock less attractive to investors seeking stocks with lower market values per dollar of equity on the balance sheet.
NKE is trading at a significant premium to its peers.
Higher. Elevated earnings growth rates can lead to capital appreciation and justify higher price-to-earnings ratios.
NKE is expected to have an earnings growth rate that significantly exceeds its peers.
|NKE 2.84||Peers 2.24||NKE 6.09||Peers 16.73|
Premium. In the absence of P/E and P/B multiples, the price-to-sales ratio can display the value investors are placing on each dollar of sales.
NKE is trading at a significant premium to its industry.
Lower. A sales growth rate that trails the industry implies that a company is losing market share.
NKE significantly trails its peers on the basis of sales growth