Everything you need to know about this behemoth’s stock.
Nike was founded in 1964 and is now a multi-billion-dollar company. Last year, Nike had a total net income of $1.9 billion, making it a popular choice for people who want to buy and sell its stock.
Recent stock performance of NKE
Before investing in a company like Nike, review its past stock prices, recent news headlines and something called the moving average convergence/divergence — or MACD. MACD is a trading indicator that uncovers the strength, momentum and duration of a trend. Remember, past performance is no guarantee of future results.
Nike’s technical performance
Technical analysis is the mathematical study of a stock’s price based on its recent trends. You have many more ways than the MACD to analyze market trends. Here’s what several key technical indicators are saying about Nike’s current stock trend, according to charting service TradingView.
Nike’s financial performance
Review how Nike has performed as a company over the past three years.
| Nike financial reporting figures | Revenue | Operating income | Net income | Total assets | Total equity | Number of employees |
|---|---|---|---|---|---|---|
| 2016 | $36.397 billion | $4.623 billion | $3.760 billion | $21.379 billion | $12.258 billion | 70,700 |
| 2017 | $34.350 billion | $4.886 billion | $4.240 billion | $23.259 billion | $12.407 billion | 74,400 |
| 2018 | $32.376 billion | $4.325 billion | $1.933 billion | $22.536 billion | $9.812 billion | 73,100 |
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How to stay up to date with Nike stock
When buying or selling stock in a company, pay attention to its current affairs by monitoring elements like:
- Financial reporting. Know when a company typically releases its financial reports. These reports can let you know how the company is performing, which affects the stock price. Nike’s fiscal year runs from June 1 to May 31.
- Company news. Keep an eye on the news. New products, new countries or markets, hiring and firing staff can all affect a company’s stock.
- Wider news. Be aware of external events and news that can affect Nike’s share price — for instance, new regulations that may impact the business or new products being released by its competitors.
- Company dividends. Nike pays some of its profits back to shareholders in the form of dividends. The amount of dividends has fluctuated over the years.
- Shareholder meetings. Often held annually, these meetings invite large shareholders to attend and vote on matters relating to the company.
Things to consider before investing
Before investing in any company, know the answers to key questions like:
- What does the company do? This might sound silly for a company like Nike. But if you can’t explain what the company does in a few sentences, do some research before investing.
- Is it making profits? If you’re not sure whether or not a company is profitable, it could be a red flag. You can read Nike’s quarterly or annual earnings reports and look at the figures for yourself.
- Who are the main competitors? Know if the company is a market leader, a newcomer or a fast-growing disrupter. If the company you’re considering operates globally, keep an eye on foreign competition, too.
- Who runs the company? It’s easy to track down who runs a company, and any decent company lists its senior managers too. Knowing the leaders can tell you something about the company’s stability and management style.
- Is the company’s position sustainable? If you’re looking for a long-term investment, evaluate the likelihood of the company sticking around. If you’re looking for a short-term gain, this is less important.
- Is there room for future growth? Look at the company’s outlook for medium- to long-term growth to determine whether it’s reached its maximum size or has room to grow.
Bottom line
Nike is a massive company and, in turn, a popular choice for buying and selling stock. Before purchasing shares through an investment account, do your research and make sure you’re comfortable with the risk.
