Nike reported earnings of 74 cents a share for the second quarter, beating the FactSet consensus estimate of 70 cents a share. Revenue grew 14.8% year over year to $7.38 billion, above analysts' estimates of $7.15 billion.
Revenue for the Nike brand grew 17% to $7 billion in the second quarter, with growth in every product type, geography, and key category except golf. Revenue for the Converse brand grew 24% to $434 million for the quarter, driven by growth in existing direct distribution markets and market conversions in Asia and Europe.
TheStreet Ratings team rates NIKE INC as a Buy with a ratings score of A+. TheStreet Ratings Team has this to say about their recommendation:
"We rate NIKE INC (NKE) a BUY. This is based on the convergence of positive investment measures, which should help this stock outperform the majority of stocks that we rate. The company's strengths can be seen in multiple areas, such as its solid stock price performance, growth in earnings per share, increase in net income, revenue growth and largely solid financial position with reasonable debt levels by most measures. We feel these strengths outweigh the fact that the company shows weak operating cash flow."