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SellHigh Confidence
Investment thesis

Nike has delivered four consecutive quarterly earnings beats with an average surprise of 40%, while trading 21% below analyst consensus targets, but concentrated supply chain exposure in Vietnam and an elevated put-to-call ratio of 3.46 present material risks heading into near-term earnings.

Thesis pillars

  • Consistent Earnings Beat Streak→Stable
  • Supply Chain Vietnam Concentration↑Improving
  • Analyst Upside Potential↓Deteriorating
  • +1 more pillar — see the Why tab for full reasoning

Full reasoning →

Open full analysis

Nike, Inc. (NKE) Stock Analysis

SellGrowthQualityHigh Confidence

Consumer Cyclical · Footwear & Accessories

Earnings in 6 days (2026-10-01). Expect elevated volatility around the report — consider waiting for post-earnings price action before new entries.

Sell if holding. Momentum 3.2/10 is below the 5.0 floor at $35.75 — engine's falling-knife protection flags exit rather than catching a breakdown. Specifics: Concentration risk — Geographic: non-U.S. sales (57.0%); Concentration risk — Supplier: Vietnam footwear manufacturing (51.0%).

Nike designs, develops, and markets athletic footwear, apparel, and equipment under the Nike, Jordan, and Converse brands, selling through Nike-owned retail and digital channels (Nike Direct) and wholesale accounts worldwide. Nearly all footwear and apparel is manufactured by... Read more

$35.75+21.8% A.UpsideScore 5.0/10#9 of 9 Footwear & Accessories
QualityF-score7 / 9FCF yield3.54%
IncomeYield4.55%(5y avg 1.75%)Payout77.62%
Stop $34.16Target $43.54(analyst − 8%)A.R:R 4.3:1
Analyst target$47.32+32.4%36 analysts
$43.54our TP
$35.75price
$47.32mean
$23
$94

Sell if holding. Momentum 3.2/10 is below the 5.0 floor at $35.75 — engine's falling-knife protection flags exit rather than catching a breakdown. Specifics: Concentration risk — Geographic: non-U.S. sales (57.0%); Concentration risk — Supplier: Vietnam footwear manufacturing (51.0%). Chart setup: No clear chart pattern; technical signals are mixed. Score 5.0/10, high confidence.

Passes 6/9 gates (favorable risk/reward ratio, clean insider activity, no SEC red flags, news events none recent, semi cycle peak clear, materials cycle peak clear). Fails on weak momentum and death cross (50MA < 200MA) and earnings proximity 6d<=7d. Suitability: speculative.

10-K grounded · weekly refresh

About Nike, Inc.

About Nike, Inc.

NIKE sells athletic footwear, apparel and equipment under the NIKE, Jordan and Converse brands through NIKE Direct (owned retail stores and digital platforms) and wholesale accounts in nearly every country. Non-U.S. sales accounted for approximately 57% of NIKE Brand and Converse revenue in fiscal 2025, with the remaining 43% from the United States, where the company operates 376 retail stores and eight significant distribution centers, versus 658 stores across more than 40 countries internationally.

NIKE earns revenue by selling to wholesale accounts -- independent distributors, licensees and sales representatives -- and through NIKE Direct, comprising company-owned retail stores and digital commerce platforms in over 40 countries. Nearly all footwear and apparel is produced by independent contract manufacturers outside the United States, which in turn source principal materials such as rubber, leather, textiles and polyurethane films from 184 strategic Tier 2 suppliers; NIKE's own Air Manufacturing Innovation subsidiary supplies Air-Sole cushioning components from facilities in Oregon, Vietnam and Missouri. The company uses a futures ordering program that lets wholesale customers place orders five to six months ahead of delivery, helping plan production, though these advance orders can be canceled and are not always indicative of eventual revenue. NIKE competes against adidas, Under Armour and Puma, among other athletic and leisure footwear and apparel companies.

Show full overview

NIKE's footwear supply chain is more concentrated than its wholesale-plus-direct sales model suggests: factories in Vietnam alone produced approximately 51% of total NIKE Brand footwear in fiscal 2025, and just four contract manufacturers together accounted for roughly 59% of footwear production, with the single largest factory responsible for about 11%. Apparel shows a similar pattern, with the top five contract manufacturers producing approximately 51% of NIKE Brand apparel. NIKE states it believes it could develop alternative sources of supply over time if trade protection measures or other disruptions cut off a country or manufacturer, but acknowledges any substitute capacity might be less cost-effective, creating an ongoing margin risk rather than a one-time shock.

See also: Consumer Cyclical · Footwear & Accessories

From Nike, Inc.'s most recent 10-K filing, extracted September 6, 2026.

news + 30-day 8-K events · 5-min refresh

Recent developments

updated 2026-09-26
TrendMatrix Research · upcoming catalyst calendar

Upcoming dated catalysts

Thu, Oct 1, 20266d to earnings· next earnings call

Thesis

Rewards
Strong earnings beat streak (4/4)
Attractive valuation
Positive insider activity
Risks
Concentration risk — Geographic: non-U.S. sales (57.0%)
Concentration risk — Supplier: Vietnam footwear manufacturing (51.0%)
Sector modifier (Consumer Cyclical): -1.5

Key Metrics

P/E (TTM)17.1
P/E (Fwd)16.3
Mkt Cap$53.4B
EV/EBITDA11.2
Profit Mgn6.7%
ROE22.1%
Rev Growth-1.1%
Beta1.11
Dividend4.55%
Rating analysts46

Quality Signals

Piotroski F7/9MoatNarrow

Options Flow

P/C1.15bearish
IV65%elevated

Concentration Risks(10-K Item 1A)

  • HIGHGeographicnon-U.S. sales57%
    10-K Item 1: 'For fiscal 2025, non-U.S. NIKE Brand and Converse sales accounted for approximately 57% of total revenues, compared to 58% and 57% for fiscal 2024 and fiscal 2023, respectively.'
  • LOWCustomerthree largest United States customers25%
    10-K Item 1: 'During fiscal 2025, our three largest United States customers accounted for approximately 25% of sales in the United States.'
  • HIGHSupplierVietnam footwear manufacturing51%
    10-K Item 1: 'For fiscal 2025, factories in Vietnam, Indonesia and China manufactured approximately 51%, 28% and 17% of total NIKE Brand footwear, respectively.'
  • HIGHSuppliertop four footwear contract manufacturers59%
    10-K Item 1: 'For fiscal 2025, four footwear contract manufacturers each accounted for greater than 10% of footwear production and in the aggregate accounted for approximately 59% of NIKE Brand footwear production.'
  • LOWSupplierlargest single footwear factory11%
    10-K Item 1: 'The largest single finished goods footwear factory accounted for approximately 11% of total fiscal 2025 NIKE Brand footwear production.'

Model-generated analysis — not investment advice. Not a registered investment advisor. Past performance does not guarantee future results.

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About TrendMatrix. TrendMatrix is a publisher of general securities research and market commentary. We publish on a regular schedule. All content is the same for every subscriber in a tier — we do not provide personalized investment advice and we do not take into account any individual subscriber's financial situation, investment objectives, risk tolerance, tax situation, or holdings.

Not investment advice. TrendMatrix is not a registered investment adviser. Our content is for informational and educational purposes only. Consult your own licensed investment adviser, broker, or tax professional before making any investment decision.

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Performance. Past performance is not indicative of future results. Performance figures reflect the published model only and do not reflect any individual subscriber's actual results.

Methodology · Editorial policy & full disclaimer

Rating Breakdown

3 floor-breakers

Revenue shrinking — -1.1% YoY. Growth thesis broken unless recovery story develops.static

Revenue Growth
2.2
Declining revenue: -1%
Low model confidence on this dimension (33%).

Ranks in the bottom of its industry peers on the composite signal. Better names in the same sector exist.static

Growth Rank
0.0
Quality Rank
3.1
Value Rank
5.1

Price action weak — below key moving averages, no momentum carry. Needs a base before trend-continuation setups apply.static

Obv
1.0
Ma Position
1.0
Rsi
3.0
Volume
4.5
Macd
6.6
Capitulation risk (RSI 27, below 200MA)Volume distribution (falling OBV)Below 200-MA, MA slope -6.9%/30d — confirmed downtrend
GatesMomentum 3.2<4.5Death cross (50MA < 200MA)EARNINGS PROXIMITY 6d<=7dA.R:R 4.3 ≥ 1.5Insider activity: OKNo SEC red flagsNEWS EVENTS NONE RECENTSEMI CYCLE PEAK CLEARMATERIALS CYCLE PEAK CLEARSuitability: Speculative
RSI
27 · Oversold
↓ 20D MA↓ 50D MA↓ 200D MADEATH CROSSSupport $35.22Resistance $39.46

Price Targets

$34
$44
A.Upside+21.8%
A.R:R4.3:1

Position Sizing

ConvictionNone
Suggested %0.5%
Max %1%
RegimeRisk-Off

Risk Alerts

! momentum at 3.2 (below the engine's 4.5 threshold)
! Death cross — 50-day MA below 200-day MA
! EARNINGS_PROXIMITY:6d<=7d

Earnings

B
B
B
B
4/4 beats
Next Earnings2026-10-01 (6d)

Verdict History

reverse chrono — latest first
Loading history...
Verdicts are recorded on every nightly pipeline run. Rows capture transitions (verdict flips, score deltas ≥0.3, entry/TP/SL changes). Rows with a ▶ can be expanded to see the change reason. Aggregate cohort performance is tracked in the recommendation ledger.
Frequently Asked Questions
Is NKE stock a buy right now?

Sell if holding. Momentum 3.2/10 is below the 5.0 floor at $35.75 — engine's falling-knife protection flags exit rather than catching a breakdown. Specifics: Concentration risk — Geographic: non-U.S. sales (57.0%); Concentration risk — Supplier: Vietnam footwear manufacturing (51.0%). Chart setup: No clear chart pattern; technical signals are mixed. Prior stop was $34.16. Score 5.0/10, high confidence.

What is the NKE stock price target?

Take-profit target: $43.54 (+21.8% upside). Prior stop was $34.16. Stop-loss: $34.16.

What are the risks of investing in NKE?

Concentration risk — Geographic: non-U.S. sales (57.0%); Concentration risk — Supplier: Vietnam footwear manufacturing (51.0%); Sector modifier (Consumer Cyclical): -1.5.

Is NKE overvalued or undervalued?

Nike, Inc. trades at a P/E of 17.1 (forward 16.3). TrendMatrix value score: 7.1/10. Verdict: Sell.

What do analysts say about NKE?

46 analysts cover NKE with a consensus score of 3.5/5. Average price target: $47.

What does Nike, Inc. do?Nike designs, develops, and markets athletic footwear, apparel, and equipment under the Nike, Jordan, and Converse...

Nike designs, develops, and markets athletic footwear, apparel, and equipment under the Nike, Jordan, and Converse brands, selling through Nike-owned retail and digital channels (Nike Direct) and wholesale accounts worldwide. Nearly all footwear and apparel is manufactured by independent contract manufacturers, with Vietnam producing about 51% of Nike Brand footwear and non-U.S. sales accounting for approximately 57% of fiscal 2025 revenue.

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