Nike Valuation
| NKE Stock | 74.33 0.51 0.69% |
At this time, the firm appears to be fairly valued. Nike Inc secures a last-minute Real Value of USD74.44 per share. The latest price of the firm is USD74.33. Our model forecasts the value of Nike Inc from analyzing the firm fundamentals such as Profit Margin of 0.11 %, current valuation of 166.12 B, and Return On Equity of 0.37 as well as examining its technical indicators and probability of bankruptcy.
Fairly Valued
Today
Please note that Nike's price fluctuation is very steady at this time. Calculation of the real value of Nike Inc is based on 3 months time horizon. Increasing Nike's time horizon generally increases the accuracy of value calculation and significantly improves the predictive power of the methodology used.
Nike's intrinsic value may or may not be the same as its current market price of 74.33, in which case there is an opportunity to profit from the mispricing, assuming the market price will eventually merge with its intrinsic value. | Historical | Market 74.33 | Real 74.44 | Hype 74.33 |
The intrinsic value of Nike's stock can be calculated using various methods such as discounted cash flow analysis, price-to-earnings ratio, or price-to-book ratio. That value may differ from its current market price, which is determined by supply and demand factors such as investor sentiment, market trends, news, and other external factors that may influence Nike's stock price. It is important to note that the real value of any stock may change over time based on changes in the company's performance.
Estimating the potential upside or downside of Nike Inc helps investors to forecast how Nike stock's addition to their portfolios will impact the overall performance. We also use other valuation drivers to help us estimate the true value of Nike more accurately as focusing exclusively on Nike's fundamentals will not take into account other important factors: Nike Total Value Analysis
Nike Inc is now forecasted to have takeover price of 166.12 B with market capitalization of 172.28 B, debt of 8.92 B, and cash on hands of . Please note that takeover price may be misleading and is a subject to mistakes in financial statements. We encourage investors to thoroughly investigate all of the Nike fundamentals before making investing decisions based on enterprise value of the company| Takeover Price | Market Cap | Debt Obligations | Cash |
166.12 B | 172.28 B | 8.92 B |
Nike Investor Information
About 83.0% of the company shares are owned by institutional investors. The company last dividend was issued on the 3rd of March 2023. Nike Inc had 2:1 split on the 28th of December 2015. Based on the measurements of operating efficiency obtained from Nike's historical financial statements, Nike Inc is not in a good financial situation at the moment. It has a very high risk of going through financial straits in January.Nike Asset Utilization
The asset utilization indicator refers to the revenue earned for every dollar of assets a company currently reports. Nike has an asset utilization ratio of 115.85 percent. This implies that the Company is making USD1.16 for each dollar of assets. An increasing asset utilization means that Nike Inc is more efficient with each dollar of assets it utilizes for everyday operations.Nike Ownership Allocation
Nike Inc maintains a total of 1.25 Billion outstanding shares. The majority of Nike outstanding shares are owned by institutional investors. These third-party entities are usually referred to as non-private investors looking to shop for positions in Nike Inc to benefit from reduced commissions. Consequently, institutional holders are subject to a different set of regulations than regular investors in Nike Inc. Please pay attention to any change in the institutional holdings of Nike as this could imply that something significant has changed or is about to change at the company. Please note that no matter how many assets the company has, if the real value of the firm is less than the current market value, you may not be able to make money on it.Nike Profitability Analysis
The company reported the revenue of 46.71 B. Net Income was 6.05 B with profit before overhead, payroll, taxes, and interest of 21.48 B.About Nike Valuation
The stock valuation mechanism determines Nike's current worth on a daily basis. In general, an absolute valuation approach attempts to find the value of Nike Inc based exclusively on its fundamental and basic technical indicators. As compared to an absolute model, our relative valuation model uses a comparative analysis of Nike. We calculate exposure to Nike's market risk, different technical and fundamental indicators, and relevant financial multiples and ratios and then compare them to those of Nike's related companies.8 Steps to conduct Nike's Valuation Analysis
Company's valuation is the process of determining the worth of any company in monetary terms. It estimates Nike's potential worth based on factors such as financial performance, market conditions, growth prospects, and overall economic environment. The result of company valuation is a single number representing a Company's current market value. This value can be used as a benchmark for various financial transactions such as mergers and acquisitions, initial public offerings (IPOs), or private equity investments. To conduct Nike's valuation analysis, follow these 8 steps:- Gather financial information: Obtain Nike's financial statements, including balance sheets, income statements, and cash flow statements.
- Determine Nike's revenue streams: Identify Nike's primary sources of revenue, including products or services offered, target markets, and pricing strategies.
- Analyze market data: Research Nike's industry and market trends, including the size of the market, growth rate, and competition.
- Establish Nike's growth potential: Evaluate Nike's management, business model, and growth potential.
- Determine Nike's financial performance: Analyze its financial statements to assess its historical performance and future potential.
- Choose a valuation method: Consider the Company's specific circumstances and choose an appropriate valuation method, such as the discounted cash flow (DCF) or comparable analysis method.
- Calculate the value: Apply the chosen valuation method to the financial information and market data to calculate Nike's estimated value.
- Review and adjust: Review the results and make necessary adjustments, considering any relevant factors that may have been missed or overlooked.
Additional Tools for Nike Stock Analysis
When running Nike's price analysis, check to measure Nike's market volatility, profitability, liquidity, solvency, efficiency, growth potential, financial leverage, and other vital indicators. We have many different tools that can be utilized to determine how healthy Nike is operating at the current time. Most of Nike's value examination focuses on studying past and present price action to predict the probability of Nike's future price movements. You can analyze the entity against its peers and the financial market as a whole to determine factors that move Nike's price. Additionally, you may evaluate how the addition of Nike to your portfolios can decrease your overall portfolio volatility.