NIKE Inc. (NASDAQ: NKE)
NIKE, Inc. (NKE), a global company that designs, develops, markets, and sells athletic footwear, apparel, equipment, and accessories yesterday reported their fiscal third quarter 2017 financial results. Nike reported third quarter earnings of $0.68 per share which beat analyst expectations of $0.52 per share. Nike reported third quarter revenues of $8.43 billion which fell short of analyst expectations of $8.45 billion.
NIKE, Inc. CEO’s Comments
“The power of NIKE’s diverse, global portfolio delivered another solid quarter of growth and profitability,” said Mark Parker, Chairman, President and CEO, NIKE, Inc. “To expand our leadership and ignite NIKE’s next phase of growth, we’re delivering a relentless flow of innovation through performance and style, increasing speed throughout the business and creating more direct connections with consumers leveraging digital and membership.” Business Wire
NKE Technical Analysis
NKE opened trading yesterday at $58.78 which was up from the previous day’s trading close of $58.68. Shares closed trading yesterday at $58.01 and spiked down after market to $55.97, equivalent to a 4% decrease from the closing price. Taking a look at the daily chart we can see that the last time NKE traded below these levels we have to go all the way back to February 9th, when it traded at $55.31. This is higher priced than most penny stocks I trade, but should still be an active trader today that is worth watching.
Taking a closer look at the daily chart we can see that before the spike down NKE had been in an overall upward trend dating back to December 30th, 2016 when it traded at $50.83. NKE has a float of 1.3 billion shares and traded 1.68 times the normal daily trading volume on Tuesday.
For trading purposes, I would like to see NKE open trading on Wednesday below $56.65 and if it does I would be looking to take a short position at the bell but would like to see it bounce back to VWAP for a better short entry. My stop loss would be $0.20 from my entry position fearing anything more than that and the stock would start to fill in the gap down. This looks like it will have plenty of opportunity and will be on my watch list throughout today.
Company Profile
NIKE, Inc., together with its subsidiaries, designs, develops, markets, and sells athletic footwear, apparel, equipment, and accessories worldwide. It offers products in nine categories, including running, NIKE basketball, the Jordan brand, football, mens training, womens training, action sports, sportswear, and golf.
The company also markets products designed for kids, as well as for other athletic and recreational uses, such as cricket, lacrosse, tennis, volleyball, wrestling, walking, and outdoor activities.
In addition, it sells sports apparel; and markets apparel with licensed college and professional team and league logos. Further, the company sells a line of performance equipment, including bags, socks, sport balls, eyewear, timepieces, digital devices, bats, gloves, protective equipment, golf clubs, and other equipment under the NIKE brand name for sports activities; various plastic products to other manufacturers; athletic and casual footwear, apparel, and accessories under the Jumpman trademark; action sports and youth lifestyle apparel and accessories under the Hurley trademark; and casual sneakers, apparel, and accessories under the Converse, Chuck Taylor, All Star, One Star, Star Chevron, and Jack Purcell trademarks.
Additionally, it licenses agreements that permit unaffiliated parties to manufacture and sell apparel, digital devices, and applications and other equipment for sports activities under NIKE-owned trademarks.
The company sells its products to footwear stores, sporting goods stores, athletic specialty stores, department stores, skate, tennis and golf shops, and other retail accounts through NIKE-owned retail stores and Internet Websites (direct to consumer operations), as well as independent distributors and licensees.
The company was formerly known as Blue Ribbon Sports, Inc. and changed its name to NIKE, Inc. in 1971. NIKE, Inc. was founded in 1964 and is headquartered in Beaverton, Oregon. Yahoo Finance
