Nike Inc (NYSE: NKE) reported Q4 EPS at $0.49 vs
$0.48 estimates and sales of $8.2 billion vs. $8.28 billion estimates. Many analysts maintained their Outperform and Buy ratings
while Morgan Stanley, Brean and Citi slashed price targets.
Here are the 10 most notable analysts reports on Nike.
Barclays maintained
Overweight rating. Basketball remains healthy and pointed to strong demand from the recent launch of the KD9, which are already
sold out, and the Kobe 11 iD shoes, which were the most successful iD launch in history.
JPMorgan
maintained Overweight rating. While Nike sets up near-term as a 2H17 "show-me"story, four turns of multiple compression post-Q3
print creates an attractive multi-year entry point in their view with a low-to-mid-teens base case bottom-line profile equating to
$3.00 in CY18 EPS power.
Credit Suisse maintained Outperform rating. “This is the bad news that we had been expecting
and we expect near-term pressure on shares as a result.”
Goldman Sachs
reiterated Buy: "Revenue targets look achievable, valuation has compressed to 22X NTM P/E, and NKE is likely to be supported by
a flight to quality against a volatile macro backdrop.”
DA Davidson
reiterated Buy: The company has been able to shine through against the backdrop of a challenging environment due to “strong
execution and operational discipline.”
Brean Capital lowered
their price target from $68 to $62, but maintained Buy rating. "Longer term, we believe continued focus on innovation
(including Nike+ app, goes live in June) should continue to drive separation in the market, with a refocused ADS (launched biggest
ever U.S. ad campaign in Feb.) and burgeoning UA (UA $37.52, Hold -Curry2, UA Record app) likely spurring NKE to push the
innovation envelope even further, in our view."
Morgan Stanley
maintained Equal-Weight: Nike's headwinds could be short-term in nature and the company will soon return to 10 percent top-line
growth. On the other hand, Nike could be at an inflection point where competitors are now limiting its rate of market share
gain.
UBS reiterated
Buy with a price target of $70.
Citi slashed
Nike’s target price from $75 to $61, maintaining a Buy. "At these levels, we think there are investors (based on recent calls)
who will take advantage of a high quality global growth name, and we expect upside over the next 12mos from: an improved basketball
platform, brand momentum on upcoming Olympics/Euro Champs, supply chain efficiencies, & higher share buybacks."
Jeffries
maintained Buy: "While some moving P&L parts and market share oscillation is likely to pressure the stock and results
through 1H17, we remain upbeat on the LT view, given the likelihood for improvement in N.A. over the year, coupled with healthy
int’l bizs (esp. China, up 23% in 4Q), rapid DTC growth, and the benefits of manufacturing efficiencies now beginning to be
realized."
Latest Ratings for NKE
Date |
Firm |
Action |
From |
To |
Jun 2016 |
Credit Suisse |
Maintains |
|
Outperform |
Jun 2016 |
Citigroup |
Maintains |
|
Buy |
Jun 2016 |
JP Morgan |
Maintains |
|
Overweight |
View More Analyst Ratings for
NKE
View the Latest Analyst Ratings
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