Nike profitability ratios. is significantly higher than its peer group's.

Nike profitability ratios 1. 33%, with the current figure at 11. 50% in 2023 and 11. 21 in 2024, indicating that the company has been able to reduce its reliance on debt to finance its assets. 2 days ago · The profit margin, also known as the revenue ratio or gross profit ratio, measures how efficiently a company converts sales into net income; higher margins indicate greater profitability. Analysis of Nike Inc 's second quarter 2024 to second quarter 2023 Effective Tax Rate, ranking within Apparel, Footwear & Accessories industry and Consumer Discretionary Sector, Income taxes expenses / -benefit and Pre-Tax Income quarterly change - CSIMarket May 7, 2024 · In financial analysis, they are some of the most widely used metrics. Nike Inc has managed to improve its Revenue sequentially to $ 12,354. quick ratio deteriorated from Q4 2024 to Q1 2025 and from Q1 2025 to Q2 2025. 29 . Higher profitability ratios represent efficient managerial skills and competent positioning of the firm in its industry. (NKE) key Profitability Ratios to Industry, Sector, S&P 500, Ebitda Margin, Operating Margin - CSIMarket 2ca8a00557085070ddf37594846. in terms of the ratio analysis, horizontal analysis and vertical analysis. Jul 17, 2024 · Nike’s current and quick ratios being between 2. Nike Current Ratio: Nike's current ratio was 2. 8 billion, up 5 percent compared to prior year and up 8 percent on a currency-neutral basis NIKE Nov 30, 2023 · See all industry leaders. Overall, Nike's trend of maintaining gross profit margins in the mid-40% range demonstrates the company's ability to effectively manage its production costs and maintain profitability over the Download scientific diagram | Nike's profitability ratios [3]. adjusted net profit margin ratio deteriorated from 2022 to 2023 but then slightly improved from 2023 to 2024. Stock | NKE | US6541061031 Oct 3, 2024 · Finance document from Maryville University, 5 pages, Snapchat Profit Ratios Profit Margin Return on Assets Return on Equity 2024 11. The above is a comparative analysis of the company's financial position and performance. 842B , a 3. The current gross profit margin for NIKE as of November 30, 2024 is % . and higher than S&P 500 Avg. 7%; Nike's gross profit margin for fiscal years ending May 2020 to 2024 averaged 44. These fundamental indicators attest to how well Nike Inc utilizes its assets to generate profit and value for its shareholders. Nike Inc. 0% 39. 38%, indicating the company's ability to generate profit from its assets before interest and taxes. Feb 4, 2023 · This ratio reflects Nike's profitability before considering taxes, showing the company's overall profitability levels. Nike's operated at median gross profit margin of 44. Profitability ratio Description The company; Gross profit margin: Gross profit margin indicates the percentage of revenue available to cover operating and other expenditures. Equity turnover: An activity ratio calculated as total revenue divided by shareholders’ equity. current ratio improved from 2022 to 2023 but then deteriorated significantly from 2023 to 2024. 2 billion, up 10 percent compared to prior year and up 16 percent on a currency-neutral basis* Fourth quarter reported revenues were $12. 80 shows that the company was able to pay off its liabilities. Current and historical gross margin, operating margin and net profit margin for NIKE (NKE) over the last 10 years. 3 2023 12. The debt/equity ratio can be defined as a measure of a company's financial leverage calculated by dividing its long-term debt by stockholders' equity. 292B , a 3. 98 . Securities and Exchange Commission (SEC) through the Electronic Data Gathering, Analysis, and Retrieval system (EDGAR) (about 10,000 largest publicly traded Nov 30, 2023 · See all industry leaders. 389B , a 9. We take all the information about a company's solvency (such as how easily a company can pay interest on its outstanding debt, how much cash it has, the amount of debt, and more) and consolidate it into one single number - the solvency score. Net Profit margin. Two-Component Disaggregation of ROE; Three-Component Disaggregation of ROE; Two-Component Disaggregation of ROA Answer to 2020 2019 NIKE Inc. Nike's latest twelve months gross profit margin is 44. 95. Cash ratio Mar 21, 2023 · In 20 21, the majority of Nike’s profitability ratios have increased back to. 1% in 2020, it surged to 13. Question: Compute the main profitability ratios for both Nike and lululemon (Asset turnover, profit margin, and ROA). 7% from fiscal years ending May 2020 to 2024. Adjusted ROE A profitability ratio calculated as adjusted net income divided by adjusted total equity. of 0. We have many different tools that can be utilized to determine how healthy Nike is operating at the current time. 's valuation is way above the market valuation of its sector. 1% 15. 64. 45. Ten years of annual and quarterly income statements for NIKE (NKE). A company's management's effectiveness in running the firm can be determined by looking at its profitability ratios. This suggests a stronger financial position and lower risk of insolvency. P/E ratio history for Nike from 2001 to 2023 Nike Inc's solvency score is 67/100. May 31, 2020 · Financial ratios and metrics for Nike (NKE). Current and historical gross margin for NIKE (NKE) over the last 10 years. 5 lower than Industry Avg. is significantly lower than its historical 5-year average: 23. 5% 36. Income Statement Company Nike All numbers in Millions Revenue 2021 2020 2019 2018 Total Oct 6, 2024 · The analysis covers profitability, liquidity, solvency, and operational efficiency ratios, providing stakeholders with a deep understanding of the companies' financial performance. Despite the fluctuations, Nike Inc has generally maintained a healthy net profit margin, indicating the company's ability to effectively control costs and generate profit from its operations. A SWOT analysis of Nike reveals its strengths, weaknesses, opportunities, and threats in the market. operating profit margin ratio deteriorated from 2022 to 2023 but then slightly improved from 2023 to 2024. Current and historical return on equity (ROE) values for NIKE (NKE) over the last 10 years. Quick ratio: A liquidity ratio calculated as (cash plus short-term marketable investments plus receivables) divided by current liabilities. 69% . 33. 2% Asset Utilization Ratios Receivable Turnover Average Collection Days Inventory Turnover Total Asset Turnover 2024 11. Securities and Exchange Commission (SEC) through the Electronic Data Gathering, Analysis, and Retrieval system (EDGAR) (about 10,000 largest publicly traded This NKE page provides a table containing critical financial ratios such as P/E Ratio, EPS, ROI, and others. 00. 6 31 3. Current ratio can be defined as a liquidity ratio that measures a company's ability to pay short-term obligations. Provide ROE for Nike Inc. 15. 45 billion. NIKE Inc. Valuation ratios such as P/E, P/BV, P/S. Cl B balance sheet, income statement, cash flow, earnings & estimates, ratio and margins. Nike uses various strategies to maintain its potential for profitability. Evaluate profitability, liquidity, leverage, and efficiency metrics to understand the company's financial health. Receivables turnover: An activity ratio equal to revenue divided by receivables. However, Nike had a less of bad press. Cash ratio Dec 29, 2023 · The analysis begins with a detailed financial assessment using ratio analysis, focusing on profitability, liquidity, investment, and efficiency ratios over a three-year period. | As there are a great number of companies in the . In terms of valuation, Nike Inc’s market capitalization stands at $105. inventory turnover ratio improved from 2022 to 2023 and from 2023 to 2024. View NKE financial statements in full. May 31, 2020 · Nike Inc's profitability ratios show a consistent trend of improvement over the past five years. Summary; Gross profit margin; Nike Inc's return on assets (ROA) has been relatively stable over the past five years, ranging from a low of 8 Current and historical debt to equity ratio values for NIKE (NKE) over the last 10 years. 67% increase from 2023. 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. Nike Incorporation Net Profit Margin showing strong upward trend, with cumulative growth of 90. 94%. Ten years of annual and quarterly financial ratios and margins for analysis of NIKE (NKE). Key profitability ratios include the gross margin ratio, net profit margin, return on assets (ROA), and return on equity (ROE). OPM deteriorated from 2022 to 2023 but then slightly improved from 2023 to 2024. S. May 31, 2020 · Nike Inc's operating profit margin has shown a fluctuating trend over the past five years. 7645. Full year reported revenues were $51. To view advanced NKE ratio information, investors can sign up for their very own InvestingPro account. NIKE current ratio for the three months ending November 30, 2024 was . 27 billion. The EV/EBITDA NTM ratio of NIKE Inc. In 2020, the operating profit margin was at 8. The higher the profitability score, the more profitable the company is. dWw39yIXA4CpiSJv9Zn-krqHXZy2JtO0uIewt8PLMLJWDDLfajU4k4GPcA. 66 % in Q2 sequentially to 1,163 millions, while Revenue increased by 6. NIKE annual gross profit for 2023 was $22. Vertically comparing, Nike has been improving its. The Operating return on assets (Operating ROA) has remained relatively stable, ranging from 15. 53% in 2021. 7 in 2021. 68 in 2023. from publication: Analysis of Nikes Performance Based on Its Financial Accounts and Ratios | The COVID-19 epidemic has severely Use this page to view Nike (NKE) key financial ratios such as their Price-to-Earnings (P/E Ratio), Earnings-Per-Share (EPS), Return-On-Investment (ROI) and others based on the latest NKE financial reports. 8 % to $ 11,589 millions and Revenue by -8. According to Table 1, from 7. quick ratio deteriorated from 2022 to 2023 and from 2023 to 2024. current ratio deteriorated from Q4 2024 to Q1 2025 and from Q1 2025 to Q2 2025. 7 . Company name . 63. ( NKE | USA) "The Risk Score is a relevant measure for the assessment of a stock attractiveness. 96 in 2021 and then slightly decreasing again to 2. 4% positions it above the industry average. 887B , a 2. Charts: gross margin, EBIT, Net Income, EBITDA, ROE, ROA, etc. from publication: Financial Analysis and Forecast of Nike, Inc. Sep 16, 2023 · Business document from Grand Canyon University, 5 pages, Benchmark - Nike Co. is significantly higher than the average of its sector (Footwear): 8. shows a Risk Score of 9. Mar 3, 2024 · Nike faces competition from companies such as Adidas, Under Armour, Puma, and New Balance, among others. NIKE, Inc. xlsx from ACC 486 at Grand Canyon University. Nike’s Potential for Profitability. 57 . : Forcasts, revenue, earnings, analysts expectations, ratios for Nike, Inc. 08%. 68% over the last three years. Dec 19, 2022 · Comparing profitability ratios, the situation does not change; on the contrary, it makes Adidas' position even worse. The ratio decreased from 3. Profitability ratios show vital signs of the company's future success. Nike Co. 40 as of May 31, 2024. May 31, 2020 · Nike Inc's solvency ratios have shown a favorable trend over the past five years. shows a Profitability Score of 7. Debt to capital ratio Sep 5, 2024 · The profitability ratios that are mostly used is the return on assets (ROA) and return on equity (ROE). However, there was a decline in the operating profit margin in 2022 to 14. 6 billion, down 2 percent on a reported basis and flat on a currency-neutral basis NIKE Direct revenues for the Current and historical current ratio for NIKE (NKE) from 2010 to 2024. Nov 16, 2024 · 2 Introduction This report will assess Nike, Inc. 3. As of 2022, their current ratio was 2. They are tools that investors can use to assess if a company is a good investment, in addition to other research. Download scientific diagram | Profitability ratios of Nike and its competitors. The higher the profitability score See all industry leaders. An approach to decomposing Nike Inc. 0 corresponds to a very high risk and 10 corresponds to a very low risk. At the end of 2022 the company had a P/E ratio of 32. An activity ratio calculated as cost of goods sold divided by inventory. 40% to 18. Mar 21, 2023 · Data for this investigation are obtained through the companies’ respective official income statements and balance sheets, from which profitability, efficiency turnover, and liquidity ratios are derived to both vertically and horizontally compare Nike’s financial performance for an accurate evaluation. of 537. In the most recent period, May 31, 2024, the financial leverage ratio stands at 2. 9% 13. Nike Inc 's Quick, Working Capital, Debt to Equity, Leverage and Interest Coverage Ratio, Comparisons to Industry Sector and S&P Quarterly decomposition of Nike return on equity ratio (ROE), return on assets ratio (ROA), and net profit margin ratio as the product of other financial ratios. Then, we'll conduct profitability analysis, efficiency ratio analysis, and solvency analysis on Nike and analyze Nike's investment value and development trend in the past three years based on Profitability Ratios Nike's return on assets has seen fluctuations over the past three years. (NKE). 4 in text for a list of possible ratios). 6 % faster than Gross Profit increase of 2. P/OP ratio increased from 2022 to 2023 but then decreased significantly from 2023 to 2024. Nike drives revenue through a mix of direct-to-consumer sales via their online platforms and brick-and-mortar stores, alongside traditional retail partnerships. 81% to 13. According to Nike's financial data released at the end of March 2020, in the first quarter, although the revenue growth is slow, the profit is still up 5% According to Nike's latest financial reports and stock price the company's current price-to-earnings ratio (TTM) is 21. Do this for the last 3 years available. 33%, which then saw an increase to 15. DuPont Analysis: Disaggregation of ROE, ROA, and Net Profit Margin Quarterly Data . 962 billion, respectively. In reviewing each of Nike's financial ratios, I first start with defining the financial ratio. Full year revenues were $51. Current and historical net profit margin for NIKE (NKE) from 2010 to 2024. 8 1. 4 Download scientific diagram | Profitability ratios of Nike and its competitors from publication: A Financial Analysis and Valuation on Nike, Inc. NIKE gross profit for the twelve months ending November 30, 2024 was $21. Profit margin can be defined as the percentage of revenue that a company retains as income after the deduction of expenses. Current and historical operating margin for NIKE (NKE) over the last 10 years. May 31, 2020 · Profitability ratios. Jan 10, 2025 · Nike, Inc. The company has an Enterprise Value to EBITDA ratio of 18. Stock Screener May 31, 2020 · However, this figure was lower than the net profit margin reported in the fiscal year ending May 31, 2022, which was 12. 6% decline year-over-year. equity turnover ratio improved from 2022 to 2023 but then slightly deteriorated from 2023 to 2024. (NYSE:NKE) today reported financial results for its fiscal 2024 fourth quarter and full year ended May 31, 2024. 62 %, below company average. Evaluating by the liquidity, efficiency, profitability, debt, and return ratios the report seeks to establish whether Nike’s current financial trends are sustainable in the l A solvency ratio calculated as total debt (including operating lease liability) divided by total shareholders’ equity. 479 billion, a 7. For Nike profitability analysis, we use financial ratios and fundamental drivers that measure the ability of Nike to generate income relative to revenue, assets, operating costs, and current equity. Company's Price to Sales ratio is at 2. Finally, I offer a brief analysis of Nike's Important Financial ratios. The income statement summarizes the revenues, expenses and profit generated by a business over an annual or quarterly period. Find out all the key statistics for NIKE, Inc. 23. NIKE debt/equity for the three months ending November 30, 2024 was 0. Return on equity can be defined as the amount of net income returned as a percentage of shareholders equity. Looking back at the last 5 years, Nike's gross profit margin peaked in May 2022 at 46. Nike’s profitability ratios with asset turnover from 2017 to 2018 went from 2. is significantly higher than its peer group's. Nike Inc. Feb 22, 2023 · Nike’s gross profit for the quarter ending November 30 was $5. 711B, while profit for 2022 was $21. 's financial ratios over a two-year period can provide valuable insights into a company's liquidity, profitability, and solvency. 12. total asset turnover ratio improved from 2022 to 2023 but then slightly deteriorated from 2023 to 2024. 30 in 2020 to 0. As of fiscal 2024, the average gross margin in the apparel industry is approximately 42%. Stock Screener Nov 15, 2021 · View Nike Profitability Analysis. . The company’s gross profit for 2020 and 2021 was $16. 51 % to $ 5,389. This ratio indicates the company's bottom-line profitability after all expenses, including taxes, have been deducted. return on equity, return on assets, and net profit margin ratio as the product of other financial ratios. Profitability ratios measure a company's ability to generate earnings relative to its sales, assets and equity. Profitability Ratios: PROFITABILITY RATIOS 1) PROFIT MARGIN: It gives us an idea about how much money is left after the sale of the products when subtracting the cost of goods sold. 2 billion in the prior year, up 1 percent on a currency-neutral basis* Fourth quarter revenues were $12. 62. 14. 72, with a current value of 2. 4 k people. debt to equity ratio (including operating lease liability) deteriorated from 2022 to 2023 but then improved from 2023 to 2024 not reaching 2022 level. performance: mainly the net profit margin, current ratios, quick ratio, and debt to equity ratio, earning per share ratio, working capital turn over and cash return on capital investment. 1% in 2021 but Step 3: Calculate Profitability Ratios. (NYSE:NKE) today reported financial results for its fiscal 2023 fourth quarter and full year ended May 31, 2023. Net Profit Nike Financial Information; a. " The Risk Score for NIKE Inc. Nike Inc's profitability score is 63/100. 41 %, Net Profit Margin remained below Nike Inc average. 5% 2023 9. Next, I supply the financial formula for calculating the specific ratio. Risk Analysis of NIKE Inc. Nike financial ratios grouped by activity, liquidity, solvency, and profitability. 5%. 89. 94 . ’s financial viability and financial prospects for the next couple of years through the use of financial ratios. Sponsorships and endorsements with top athletes keep Nike's brand at the forefront of consumer consciousness, sustaining the aspirational ethos that fuels their success. receivables turnover ratio improved from 2022 to 2023 but then slightly deteriorated from 2023 to Dec 20, 2024 · Nike’s Q2 earnings surpass expectations as CEO Hill drives cost-cutting and innovation, aiming for long-term growth and profitability May 31, 2020 · The financial leverage ratio for Nike Inc has shown a fluctuating trend over the past five years. 41. 241 billion and $19. Lastly, the net profit margin has fluctuated between 6. 4 billion compared to $51. 07 %, while Operating Profit Margin, Return on Sales fell to 10. 6% rise from 2021. The current ratio has fluctuated slightly, ranging from 2. Jun 29, 2023 · NIKE, Inc. NIKE's gross margin of 45. May 8, 2023 · NIKE – PROFITABILITY ANALYSIS : Net Profit Margin Analysis: Net Profit Margin is highest in the year 2022 and lowest in the year 2020. Nov 10, 2023 · Table 4: Profitability ratios of Nike and its competitors. 43 %, below company*s average Operating Profit Margin, Return on Sales. NIKE net profit margin for the three months ending November 30, 2024 was . 00 millions by 6. This means that NIKE Inc. May 31, 2020 · A higher gross profit margin indicates that the company is able to control its production costs effectively and earn a healthy profit on each unit sold. pre-pandemic levels, or even higher. 0%. (NKE), including valuation measures, fiscal year financial statistics, trading record, share statistics and more. Financial Data Source and Analysis Principles. Quant Ratings. Evaluate Nike Co. According to these financial ratios NIKE Inc. Conclusion. In conclusion, Nike is a globally recognized brand that has become a household name in the sports industry. Amounts do not need to dollar sign ($), whole numbers only, no decimals. Apparel, Footwear & Accessories industry's Price to Sales ratio is at 1. 39% in 2024. The Profitability Score for NIKE Inc. NKE Ratios. P/OP ratio: Because P/E ratio is calculated using net income, the ratio can be sensitive to nonrecurring earnings and capital structure, analysts may use price to operating profit. 6 %, this led to improvement in the company's Net Profit Margin to 9. 64 in 2022 before increasing to 2. Analyze key financial ratios for NIKE, Inc. Securities and Exchange Commission (SEC) through the Electronic Data Gathering, Analysis, and Retrieval system (EDGAR) (about 10,000 largest publicly traded Jun 27, 2024 · NIKE, Inc. In 5 0 0-7 0 0 words address the following: Complete a horizontal analysis on statements of income (IS). Comparison of Profitability Ratios with Industry Averages. The comparison is based on official financial statements filed with the U. We take all the information about a company's profitability (such as its margins, capital efficiency, free cash flow generating ability, and more) and consolidate it into one single number - the profitability score. Use the spreadsheet to calculate as many of the company’s profitability, turnover-control, and leverage and liquidity ratios as you can for these years (see Table 2. Gj99uxtUdOPL-0Admt_K-ejgK-WPd5Tnj9fRw6-mSsc. According to Nike's financial data released at the end of March 2020, in the first quarter, although the revenue growth is slow, the profit is still up 5% Profitability ratio Description The company; OPM: The operating profit margin (OPM) is the ratio of pretax economic earnings, or NOPBT, to sales. Assess the performance of Nike (NKE). Return on equity measures a corporation's profitability by revealing how much profit a company generates with the money shareholders have invested. gross profit margin ratio improved from Q4 2024 to Q1 2025 but then slightly deteriorated from Q1 2025 to Q2 2025 not reaching Q4 2024 level. 89 in 2020 to 2. 31 up to 2. Gross Margin Ratio = (Revenue - Cost of Goods Sold) / Revenue May 31, 2020 · Nike Inc's liquidity ratios show a consistent trend over the past five years, reflecting the company's ability to meet its short-term financial obligations. 6 days ago · The profit margin, also known as the revenue ratio or gross profit ratio, measures how efficiently a company converts sales into net income; higher margins indicate greater profitability. The debt-to-assets ratio has decreased from 0. Keywords: Nike, ratio analysis, Vertical analysis, Horizontal analysis, financial performance Purpose of the Report Nike Inc experienced contraction in Operating Income by -21. P/S ratio Commenting Second Quarter 2024 Net Profit Margin: Nike Inc Net Income grew by 10. Gross Profit Margin (%) Operating Profit . Net profit margin: An indicator of profitability, calculated as net income divided by revenue. BUS 317 Professor Gill Kristeen Wright September 16, 2023 Analyzing Nike Co. (NKE) profitability grade and underlying metrics. Adidas AG . 40 to 2. 00 millions, this led to contraction in Gross Profit Margin to 43. As of 2023 they employed 79. NIKE net profit margin as of November 30, 2024 is 9. has a significantly higher profitability than Nike Inc. 01 • More on NKE's Valuation • Ten years of annual and quarterly financial ratios and margins for analysis of Adidas AG (ADDYY). The current operating profit margin for NIKE as of November 30, 2024 is 10. net profit margin ratio deteriorated from 2022 to 2023 but then slightly improved from 2023 to 2024. Use both OPAT and EBITDA minus taxes to compute profits. FIll in the blanks on the table below. 93 to 1. Margin (%) Net Profit Margin (%) Nike . Includes annual, quarterly and trailing numbers with full history and charts. Profitability Analysis of NIKE Inc. Segment profitability ratio Reportable segment The company; Segment profit margin: North America: North America segment profit margin ratio deteriorated from 2022 to 2023 but then improved from 2023 to 2024 not reaching 2022 level. The profitability ratios for Nike are getting However, Nike had a less of bad press. Reflection In order to better understand the financial data presented in a financial statement and evaluate its liquidity, solvency, and profitability, one can conduct a ratio analysis. Income statements, balance sheets, cash flow statements and key ratios. 28%, followed by a further decrease to 11. T Profitability ratios measure the business’ ability to earn profits, relative to their associated expenses. Provide ROA Nike Inc's profitability score is 61/100. Net profit margin can be defined as net Income as a portion of total sales revenue. NKE price-to-sales ratio is 2. NIKE annual gross profit for 2024 was $22. Aug 31, 2021 · Nike Inc's liquidity ratios have shown fluctuating trends over the past few periods. Nike Inc Price to Book Ratio is at 7. The current ratio, which measures the company's ability to cover its short-term liabilities with its current assets, has generally been above 2, indicating a healthy liquidity position. Reflection Nike Co. On the other hand, Nike presents a quick ratio stably above 1x and in line Show all profitability ratios for Nike Inc. | This article aims to analyze the overall Decomposition of Nike return on equity ratio (ROE), return on assets ratio (ROA), and net profit margin ratio as the product of other financial ratios. 98% . NIKE gross profit for the quarter ending November 30, 2024 was $5. ( NKE | USA) The Profitability Score is a relevant measure for the assessment of a stock attractiveness. 75% decline year-over-year. Published financial data: NIKE, INC Ten years of annual and quarterly financial statements and annual report data for NIKE (NKE). tundscg xaup pqyuhcq puaip uee zsgfo gnt asimzb kbg dypfn