NIKE, Inc. (NKE) Stock

NIKE, Inc. (NKE) is a Consumer Discretionary stock trading at $38.23 (as of 2026-09-02), with a market capitalization of $56.62B and a trailing P/E of 18.2. Figures are sourced from first-party U.S. SEC EDGAR filings and market data.

NIKE, Inc. designs, develops, markets, and sells athletic footwear, apparel, equipment, and accessories for men, women, and kids worldwide. It sells products under the NIKE and Converse brands, as well as licensed college and professional team apparel, and distributes through footwear and sporting goods retail channels.

Understand NIKE, Inc.: how it makes money

Nike designs and sells athletic footwear, apparel, and accessories under its Nike and Converse brands, generating revenue through wholesale partners and its own digital and store channels. Roughly 60% of sales flow through wholesale partners and 37% through Nike's direct channels, with performance footwear as the core profit driver.

Nike's 49% gross margin rests on brand premium in performance footwear, but with 60% of revenue flowing through wholesale partners who set their own retail prices and markdown schedules, effective pricing power is shared rather than controlled by Nike.

Revenue by segment (latest quarter)
Wholesale$6.6B
NIKE Direct$4.1B
Converse$0.2B

Business quality (Mixed): Mixed. The brand still commands premium pricing and a 21% ROE, but revenue is flat to slightly negative, Greater China is in structural decline, and the wholesale-heavy model limits pricing control when distributors need to clear inventory.

Valuation: At 19× earnings, NKE trades 22% above the Apparel average (16×).

Bull case

  • Performance footwear demand turning: Management reported that performance categories delivered positive retail-sales comps across multiple sports, indicating the core product line is regaining shelf pull after the sportswear-driven softness of prior quarters.
  • North America wholesale inflecting higher: North America wholesale grew 10% in the quarter, and Foot Locker revenue and retail sales turned positive, signaling that the largest revenue channel (60% of total) is exiting its downcycle.
  • Discount-driven margin floor forming: Margin stabilization is supported by lower discounts and sales-related reserves in North America, suggesting the 12% operating margin has near-term floor support as the channel clears excess supply.

Bear case

  • China losing share structurally: Greater China revenue fell 17% and Nike Digital in the region dropped 25%, a sharp and accelerating decline that reflects both competitive intensification (Anta, Li-Ning) and consumer pullback, with no visible path to recover the 2021 peak.
  • EMEA inventory toying with margins: Management flagged elevated inventory, promotions, and ongoing sell-through challenges in EMEA, meaning the 49% gross margin faces further compressive pressure from markdowns in the region that accounts for ~33% of Nike Brand revenue.
  • Premium multiple on a flat top line: At 19.4x earnings versus the 16x apparel industry average (22% above peers), the market is still paying up for growth while quarterly revenue sits at $11.0B and is negative 1% year over year, leaving little margin of safety if the recovery stalls.
Valuation — source: SEC EDGAR (first-party)
Price$38.23
Market Cap$56.62B
P/E Ratio18.2
EV / EBITDA12.3
Price / Book3.81
Price / Sales1.22
FCF Yield3.9%
DCF Value (model)$38.25
DCF Upside vs Price0.1%
Profitability & Growth — source: SEC EDGAR
Revenue (TTM)$46.40B
Net Margin6.7%
Revenue Growth (YoY)-1.1%
EPS Growth (YoY)408.9%
FCF Growth (YoY)312.9%
Financial Health — source: SEC EDGAR
Altman Z-Score3.35 (safe)
Piotroski F-Score5/9 (moderate)
Valuation vs Sector & Industry
Stock P/E18.2
Sector P/E (Consumer Discretionary)20.1
Industry P/E (Apparel)16.2
vs Sector-9.5%
vs Industry12.8%
Smart-Money Activity — SEC Form 4 / 13F / Congressional disclosures
Top Institutional HolderVANGUARD GROUP INC ($7.45B)
Institutional Holders Tracked10
Congressional Trades (recent)10
Company
SectorConsumer Discretionary
IndustryApparel
CEOElliott J. Hill
Employees79,400
CountryUS
IPO Date1980-12-02

NIKE, Inc. earnings call transcripts

  • NKE Q4 FY26 earnings call transcript (reported 2026-06-30) · analysis
  • NKE Q3 FY26 earnings call transcript (reported 2026-03-31) · analysis
  • NKE Q2 FY26 earnings call transcript (reported 2025-12-18) · analysis
  • NKE Q1 FY26 earnings call transcript (reported 2025-09-30) · analysis

All NKE earnings calls

Related Companies (Apparel; 8 comparable apparel companies)

  • Under Armour, Inc. (UAA)
  • The Gap, Inc. (GAP)
  • Tapestry, Inc. (TPR)
  • V.F. Corporation (VFC)
  • Ralph Lauren Corporation (RL)
  • PVH Corp. (PVH)
  • Victoria's Secret & Co. (VSCO)
  • Levi Strauss & Co. (LEVI)
NKE earnings history · NKE institutional & insider holders · NKE KPIs & operating metrics · NKE financials · NKE investor presentations & press releases · NKE SEC filings · NKE peers · Congress trades · Insider trades · Short interest · Stock screener

Data as of 2026-09-02.

Figures sourced from U.S. Securities and Exchange Commission (SEC EDGAR) filings and market data. Not personalized investment advice.