US Equities Analysis

NKE — Nike, Inc.

Research evidence pack

Source-backed valuation visuals

Loading verified snapshot
Loading verified market, valuation, and statement data.

2. Company Fundamentals

2.1 Competitiveness

Metric Value
Operating Margins 6.94%
Profit Margins 4.84%
Return on Equity 16.02%
Return on Assets 5.2%
Free Float 1.17B
Dividend Yield 4.01%
Short Int % Utilisation 5.43%

2.2 Growth

Metric Value
Revenue Growth 0.1%
Free Cash Flow 1.31B
EBITDA 17.66 (Ratio)
Enterprise Value 68.22B
EV/Revenue 1.47
EV/EBITDA 17.66

Revenue growth of 0.1% suggests mature or challenged top-line momentum.

2.3 Management

Role Metric
Consensus Rating N/A

2.4 Return

Metric Value
Expected Return (Ann.)* -42.26%
Risk / Std Dev (Ann.)* 35.67%
1-Year Price Return* -45.63%

Latest Market Data (as of 2026-08-14, US Eastern time):

Metric Value
Last Price $40.73
52-Week Range $40.00 – $80.17
Observation Count 251 trading days

The return and risk statistics use daily adjusted closes from the retrieved one-year series and annualise daily moments using 252 trading days. The last price is the latest regular-market price reported for the stated date. Source: Yahoo Finance market data.

2.5 FCFF DCF Valuation

Valuation basis: This research model follows a five-year, unlevered FCFF DCF. It starts from reported annual operating inputs, forecasts revenue and operating cash conversion under an explicit mechanical policy, discounts FCFF at WACC, applies a Gordon-growth terminal value, and bridges enterprise value to an indicative common-equity value per share. It is an analytical estimate rather than a recommendation or personalised target price.

Step 1 — Forecast Operating Profit and NOPAT

Reported operating input Value
Revenue $46.40B
Prior annual revenue $46.31B
EBIT $3.80B
Tax rate 20.31%
NOPAT = EBIT × (1 − tax rate) $3.03B
Forecast start-growth basis 0.19%
Forecast policy latest reported annual revenue growth, bounded to -10.00% / 15.00%

Step 2 — Calculate FCFF

Current FCFF building block Value
NOPAT $3.03B
Add: depreciation & amortisation $797.00M
Less: capital expenditure -$684.00M
Less/(add): working-capital cash-flow movement -$1.68B
Current unlevered FCFF $1.46B

Explicit FCFF forecast

Forecast year Revenue growth NOPAT D&A Capex Change in NWC FCFF Present value
1 0.19% $3.03B $798.53M -$685.31M -$1.68B $1.46B $1.39B
2 0.77% $3.06B $804.67M -$719.11M -$1.69B $1.45B $1.25B
3 1.35% $3.10B $815.51M -$757.69M -$1.72B $1.44B $1.13B
4 1.92% $3.16B $831.19M -$801.73M -$1.75B $1.44B $1.02B
5 2.50% $3.23B $851.97M -$851.97M -$1.79B $1.44B $933.64M

Step 3 — Determine the Discount Rate (WACC)

WACC input Value
Risk-free rate 4.71%
Equity risk premium assumption 5.50%
Beta 1.12
Cost of equity 10.86%
Pre-tax cost of debt 7.71%
WACC 10.12%
WACC validation within standard range

Step 4 — Estimate Terminal Value

Terminal-value input Value
Perpetuity growth rate 2.50%
Terminal value $19.37B
Implied terminal EV / EBITDA 3.95x
Terminal value as % of enterprise value 67.60%

Step 5 — Discount Cash Flows to Enterprise Value

Enterprise-value component Value
Present value of explicit FCFF $5.73B
Present value of terminal value $11.96B
Indicated enterprise value $17.70B
Discounting convention mid-year for explicit FCFF; terminal value discounted at year-end five

Step 6 — Convert Enterprise Value to Equity Value

Equity bridge Value
Indicated enterprise value $17.70B
Less: gross interest-bearing debt $11.03B
Add: cash and equivalents $9.03B
Add: affiliate investments $0.00
Less: minority interests $0.00
Indicated common equity value $15.69B

Step 7 — Calculate Indicative Value Per Share

Per-share output Value
Shares used 1,481,000,000.00
Share-count basis reported diluted weighted-average shares
Current market price $40.15
DCF indicative value per share $10.59
Indicative value vs. market price -73.61%

Model Integrity Checks

Check Result
Perpetuity growth is below the risk-free rate pass
Perpetuity growth is below WACC pass
WACC is within the configured operating-company range pass
Terminal-year FCFF is positive pass
Terminal capex converges to D&A pass
Terminal-value concentration within review band
Implied price differs from spot by more than 30% review required

2.6 Investor-Style Research Screen

Educational screen Result
Buffett-inspired cash-quality checks 4/4 evidenced checks
Lynch-inspired balance-and-growth checks 4/4 evidenced checks

Data lineage: Yahoo Finance public market and reported-statement data; retrieval timestamp: 2026-08-18 17:43:35.980232 UTC; latest reported fiscal period: 2026-05-31 00:00:00. Default assumptions: five-year forecast, mid-year discounting for explicit FCFF, a maximum 2.50% perpetuity-growth rate below both WACC and the risk-free rate, historical operating-ratio persistence, and capex convergence to D&A by year five. No sell-side consensus or management guidance is substituted for reported inputs. This is research and analysis only, not personalized financial advice.

us-equity stock equity nke consumer-discretionary apparel,-accessories--luxury-goods nasdaq