In 1971 Philip Knight founded Nike, he was inspired by the name of Greek goddess which symbolizes the victory. Forty years later we may say that name was prophetic. In fact, over the years the group is become among leaders in sportswear, thanks also to many marks under Nike logo, as Cole Haan and Converse All Stars.
In according to Thomson-Reuters’ consensus, the company seems correctly valued with a price earnings ratio estimated for 2012 at 22 USD, and an “ entreprise value / revenue” at 1.95x for the same financial year. However, looking the last earnings release the company has the potential to continue his growth. The Nike’s second-quarter 2012 showed important results. Company revenue for the quarter reached $5.7 billion, up 18% against the same period one year early. Earnings per share grew 6% to $1. Concerning the regions, North America continues to outperform with revenues up 21%, but we assist an important growth also in developing markets, especially in China with +28% (excluding currency change). During this release, management showed also the futures orders for delivery from December 2011 through April 2012, up 13%.
Technically, the share is in upward trend on the short, mid and long term. This movement is supported by moving average 20 periods. The trend is slow but constant, with reduced volatility. Nike is testing a short-term resistance at 109 USD. At this level we could imagine a return at 106 USD pivot point. This point could be a good point to entry for investors with long-term strategy, in fact is hard to find some obstacles could be stop the Nike’s upward trend. Therefore we suggest to place a stop loss at 104.5 USD
Nike, Inc. specializes in the design, manufacturing and marketing of sports shoes, clothing, and equipment. The group's products are sold primarily under the names Nike, Jordan, Converse Chuck Taylor, All Star, One Star, Star Chevron and Jack Purcell. Net sales break down by family of products as follows:
- footwear (68.9%);
- clothing (27.2%);
- sports equipment (3.4%): golf equipment (golf clubs, balls, gloves, etc.), bags, balls, etc.;
- other (0.5%).
At the end of May 2023, products were being marketed through a network of 1,032 stores worldwide, through independent distributors, and via the Internet.
Net sales are distributed geographically as follows: North America (44.3%), Europe/Middle East/Africa (27.5%), China (14.9%), Asia/Pacific and Latin America (13.2%) and other (0.1%).
NIKE, INC. 
