Beaverton, Oregon-based NIKE, Inc. (NKE) designs, develops, markets, and sells athletic and casual footwear, apparel, equipment, accessories, and services in North America and internationally. Valued at a market capitalization of $94.9 billion, the company offers its products under the NIKE, Jordan, Jumpman, Converse, Chuck Taylor, All Star, One Star, Star Chevron, and Jack Purcell trademarks.
Companies with a market capitalization of $10 billion or more are typically referred to as “large-cap stocks.” NIKE fits right into that category, with its market cap exceeding this threshold, reflecting its substantial size and influence in the footwear and accessories industry.
The stock touched its 52-week high of $82.44 on Feb. 26, 2025, and is currently trading 22.3% below that peak. NKE stock has grown 3.5% over the past three months, outperforming the S&P 500 Index’s ($SPX) 2.8% surge during the same time frame.
However, the footwear giant has lagged behind the broader market over the longer term. The stock has declined 20.2% over the past 52 weeks, while SPX delivered 15.2% returns over the same time frame.
Additionally, NKE has been trading below its 200-day moving average since December last year but recently it has edged above the 50-day moving average. This shift hints at early signs of recovery, showing some positive momentum after months of pressure.
NIKE’s shares have been in hot water recently, and somewhat over a longer period as well, owing to President Trump’s imposition of global tariffs. Recently, on Feb. 23, the stock declined 4.8% following the Trump administration’s announcement of new global tariffs, which reintroduced global trade uncertainty into the mix.
The recent announcement of tariffs indicates that the government could impose a 15% global tariff for up to 150 days, creating significant uncertainty for companies across sectors that depend on international supply chains and global trade. Especially for NIKE, as a major part of its manufacturing depends on China, the company’s outlook in these uncertain times looks a bit grim.
Its peer, Deckers Outdoor Corporation (DECK), has outperformed the stock over the past year, with its shares declining 13.7% over the past 52 weeks and surging 45.5% over the past three months.
Among the 37 analysts covering the NKE stock, the consensus rating is a “Moderate Buy.” Its mean price target of $75.95 suggests a robust 18.5% upside potential from current price levels.
On the date of publication, Sristi Jayaswal did not have (either directly or indirectly) positions in any of the securities mentioned in this article. All information and data in this article is solely for informational purposes. For more information please view the Barchart Disclosure Policy here.
More news from Barchart
