Nike Shares Near 52-Week Low as Baird Cuts Stake by 46.7%
Key Takeaways
- •Baird Financial Group sold 290,482 Nike shares during the second quarter and retained 332,029 shares valued at approximately $13.63 million.
- •Nike reported quarterly earnings per share of $0.20 and revenue of $10.97 billion, surpassing estimates despite a 1.1% annual revenue decline.
- •Several analysts reduced their Nike price targets, while the consensus view among 37 analysts remained Hold with an average target of $50.12.
- •Nike shares traded below their 50-day and 200-day moving averages at $41.04 and $45.32, respectively.
- •Nike declared a $0.41 quarterly dividend, equivalent to a 4.5% annualized yield and a 78.47% payout ratio.
Nike (NYSE: NKE) shares opened at $36.81 on Friday, close to their 52-week low of $36.55. The stock has fallen approximately 32.7% since March 2026, reducing the company’s market value and leaving Nike with a market capitalization of $54.62 billion.
Baird Financial Group was among the more active institutional sellers during the second quarter, reducing its Nike position by 46.7%. The firm sold 290,482 shares and now holds 332,029 shares valued at approximately $13.63 million. Institutional investors collectively own 64.25% of Nike’s outstanding stock.
Other firms made smaller moves. Scarborough Advisors, Cornerstone Financial Management, and Sankala Group each opened new positions valued at approximately $25,000 to $26,000. Meeder Asset Management more than doubled its position by adding 285 shares, bringing its total holdings to 548 shares.
Nike’s latest quarterly results included both positive and negative elements. For the quarter ended June 30, the company reported earnings per share of $0.20, exceeding the consensus estimate of $0.11 by $0.09. Revenue reached $10.97 billion, above the $10.85 billion estimate, although it declined 1.1% from the same period a year earlier. Nike reported a return on equity of 16.54% and a net margin of 6.70%. The earnings beat contrasted with the year-over-year revenue decline, making revenue growth and operating performance important measures in subsequent results.
Analyst Price Targets Decline
Several Wall Street firms have recently lowered their price targets for Nike. Rothschild and Co Redburn cut its target from $45 to $37 while maintaining a “Sell” rating. Wells Fargo reduced its target from $45 to $40 and retained an “Equal Weight” rating. Goldman Sachs lowered its target from $46 to $42 and kept a “Neutral” rating.
Piper Sandler also cut its target, moving it from $50 to $45. Across 37 analysts, the consensus rating is “Hold,” with an average price target of $50.12. Six analysts currently assign a “Sell” or equivalent rating to the stock. Morgan Stanley cited continuing operating weakness when warning that additional pressure could remain.
Nike is also set to be removed from the S&P 100, a change that could reduce index-related buying pressure. BMO Capital Markets recently issued an “Underperform” rating, adding to the series of cautious assessments from Wall Street firms.
Executive Stock Sales and Valuation Metrics
Two senior executives recently sold Nike shares under pre-arranged Rule 10b5-1 plans. Chief Operating Officer Venkatesh Alagirisamy sold 3,671 shares on September 9 at an average price of $37.59, generating approximately $138,000. Insider Amy Montagne sold 4,867 shares on August 7 at $42.05, for a total of approximately $204,657.
Insiders have sold 14,974 shares valued at $600,126 over the past three months and currently own 1.10% of the company.
Nike shares are trading below both the 50-day moving average of $41.04 and the 200-day moving average of $45.32. The stock’s forward price-to-earnings ratio is 22.3 times, based on analyst full-year earnings-per-share estimates of $1.74.
Nike declared a quarterly dividend of $0.41 per share, payable October 1 to shareholders of record as of September 1. The dividend represents an annualized yield of 4.5% and a payout ratio of 78.47%.
