Sep. 29, 2014, 7:06 AM
Sep. 26, 2014, 9:14 AM
Sep. 26, 2014, 7:03 AM
- Janney lifts Nike (NYSE:NKE) to a Buy rating from Neutral after digesting the athletic retailer's FQ1 report (earnings, details, guidance).
- Citigroup says it's duly impressed by Nike's guidance. Shares are reiterated at Buy and the price target is taken to $93.
- Edward Jones analyst Brian Yarbrough notes the strong results are more than a World Cup lift.
- "The product is resonating with consumers. They are dominating and keep taking market share," says Yarbrough.
- NKE +6.8% premarket
Sep. 25, 2014, 5:49 PM
- Nike (NYSE:NKE) guides on its FQ1 CC for FQ2 EPS to grow at a high-teen Y/Y rate; that's a above a consensus is for EPS to grow 12% to $0.66. FY15 (ends May '15) EPS is expected to grow at a high-20% rate; consensus is for EPS to grow 14% to $3.39.
- Following 18% growth in FQ1, the sports apparel giant now expects FY15 Greater China sales to rise at a low-to-mid teens rate; prior guidance was for high-single digit growth.
- Gross margin is expected to grow 125-150 bps Y/Y in FQ2 - 170 bps growth was seen in FQ1 - and forex headwinds are expected to go away later in FY15.
- NKE now +6.6% AH. Up in sympathy: UA +1.3%. FL +2.1%.
- FQ1 results, details.
Sep. 25, 2014, 5:35 PM
Sep. 25, 2014, 4:46 PM
- Nike (NYSE:NKE) brand futures orders were up 11% Y/Y at the end of FQ1, a growth rate even with that seen at the end of FQ4. North America futures +15%; Western Europe +17%; Central/Eastern Europe +11%; Greater China +5%; Japan -5%; emerging markets +3%. Exc. forex, growth was 14%.
- Gross margin rose 100 bps Q/Q and 170 bps Y/Y to 46.6%, aided by a favorable mix, higher prices, and strong growth in the higher-margin direct-to-consumer (DTC) business.
- However, sales/admin spend rose to 31.1% of revenue from 29.5% a year ago - overhead spend +19% to $1.58B (DTC and infrastructure investments), demand creation spend +23% to $897M (World Cup marketing).
- Nike brand sales: Footwear +18% Y/Y to $4.7B; apparel +11% to $2.24B; equipment +5% to $454M. Converse sales +16% to $575M.
- Inventories +14% Y/Y to $4B. $819M was spent to buy back 10.6M shares.
- Shares are making new highs AH.
- FQ1 results, PR
Sep. 25, 2014, 4:16 PM
Sep. 24, 2014, 5:35 PM
Sep. 19, 2014, 7:51 AM
- A shareholder with Nike (NKE +0.6%) asked the company during its annual meeting yesterday if recent off-the-field incidents have made it think twice about the sponsoring athletes with huge contracts.
- Executives responded that Nike will continue to look at sponsorships on a case-by-case basis and heralded some of its successful partnerships (Kevin Durant, Lebron James, Landon Donovan).
- The company has seen Oscar Pistorius, Adrian Peterson, and Ray Rice dominated sports headlines over the last month, and took some lumps when Lance Armstrong had a fall from grace a few years ago.
- Nike promised to keep up its pace of innovation and noted key categories such as soccer, basketball, and training still have room to grow.
- All proxy votes were approved by shareholders.
- Nike Annual Meeting webcast
Sep. 18, 2014, 10:10 AM
- Nike (NKE +0.5%) brought Lebron James to its corporate headquarters in Beaverton, Oregon to promote the new Lebron 12 basketball shoe.
- The shoe debuts on October 11 with a retail price of $200, according to Sole Collector.
- What to watch: The product has been forecast to be a best-seller for Nike with Lebron James' Q score on the rise since his return to native Ohio.
Sep. 17, 2014, 12:10 PM| 7 Comments
Sep. 17, 2014, 9:25 AM
- Nike (NYSE:NKE) says it's monitoring the situation with Minnesota Vikings running back Adrian Peterson closely.
- Peterson has been used in Nike ads for years.
- Though there are reports out of Minneapolis of Nike products tied to Peterson being pulled from stores, there's been no official policy issued by the company on Peterson's status.
Sep. 9, 2014, 1:59 PM
- Apple (AAPL +4.8%) plans to launch a mobile payment solution called Pay in a bid to replace physical wallets, credit cards, and other mobile wallet services which have "failed" - according to CEO Tim Cook.
- The company will use its Passbook app and a customer's iTunes account details to store payment information, while NFC and touch ID technology will be utilized. The major credit card companies are already on board and Apple is lining up powerhouse banks. Shares of eBay (EBAY -1.9%) have dipped off the development.
- Apple will launch iOS 8 on September 17 in front of the September 19 release date for its new iPhone 6 in the U.S.
- More on the iPhone 6: Wi-Fi calling will be available for both new products. 14 hours of 3G talk time for the 6 and 24 hours for the Plus are promised. The phones feature a new sensor which serves as a barometer to measure elevation changes (Nike (NKE +0.1%) is on board). The 8MP iSight camera appears to be a serious jump in quality (video at 1080p and a slo-mo option at 240 fps). FaceTime gets a serious upgrade through the new front-facing camera. Pricing tops out at $399 for the 128GB iPhone 6 with a two-year contract.
- Apple event webcast
Sep. 9, 2014, 9:23 AM
- A large patch of the retail sector will have their ears perked up this afternoon to see what Apple (NASDAQ:AAPL) delivers up with its iWatch announcement or teaser.
- Though the company's entry into wearable technology is considered nearly a certainty, the unknown variable is if the product will end up falling under the "gadget" category or be another Apple device revolution.
- Computerworld's Mike Egan is in the latter camp: "The iWatch should be most comparable to the Mac and the iPhone, Apple's two most stunning revolution."
- Forrester Research isn't waiting for details, forecasting 10M iWatch sales by 2016 - a mark which could dent demand for high-end watches.
- Showtime is 1:00 pm ET. (webcast)
- Luxury watchmakers: Movado (NYSE:MOV), Fossil (NASDAQ:FOSL), Swatch (OTCPK:SWGAY), Tiffany (NYSE:TIF), Richemont (OTCPK:CFRUY), LVMH Moet Hennessy (OTCPK:LVMHF), Hermes (OTCPK:HESAF)
- Wearable technology players: Sony (NYSE:SNE), Nike (NYSE:NKE), Samsung (OTC:SSNLF, OTC:SSNGY), Garmin (NASDAQ:GRMN), Basis (NASDAQ:INTC), Fitbit, Jawbone, Adidas (OTCQX:ADDYY), Under Armour (NYSE:UA).
Sep. 4, 2014, 9:30 AM
- It's either sour grapes or a tip-off on a clever strategy as Under Armour (NYSE:UA) CEO Kevin Plank reacts to the loss of NBA star Kevin Durant to rival Nike (NYSE:NKE) in the gigantic $350M basketball shoe deal which was disclosed last weekend.
- Plank says he takes pleasure in seeing the Oregon sports juggernaut pony up an extra $150M to land Durant.
- The exec thinks a strategic opportunity will open up elsewhere in the sports world with Nike's war chest diminished a bit.
Sep. 1, 2014, 7:15 AM
- Fending off a challenge from Under Armour (NYSE:UA), Nike (NYSE:NKE) holds on to the Oklahoma City Thunder's Kevin Durant, signing him to a new deal possibly worth $300M over the next ten years, and $350M over the next 20, reports the WSJ.
- With Durant's original 7-year, $60M deal set to expire, Under Armour had made an aggressive play for the superstar, but Nike had the right to match any offer and reportedly exceeded Under Armour's bid on Saturday night.
- Nike has the dominant share in the $4.5B basketball shoe market, and 2013 sales of Durant's Nike KD shoes of $175M compared to $300M for those under the name of LeBron James. Under Armour's total footwear net revenues were $299M in 2013.
NKE vs. ETF Alternatives
Nike Inc designs, develops and markets footwear, apparel, equipment, and accessory products. It is a seller of athletic footwear and athletic apparel. It sells its products through NIKE-owned in-line and factory retail stores and internet websites.
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