Nike - AI Stock Analysis

Analysis generated January 4, 2026

Nike, Inc., is a leading global brand in the athletic footwear, apparel, and equipment industry. With a focus on innovation and performance, Nike has established itself as a household name synonymous with sports and lifestyle gear. The company operates through several segments, including footwear, apparel, and equipment, and markets its products under various brands, such as Nike, Converse, and Jordan. Nike's extensive distribution network spans across the globe, reaching a diverse customer base through both direct-to-consumer sales and wholesale channels.

Fundamental Analysis

Revenue for the last quarter was $12.4 billion. This represents an increase of 6.03% compared to the previous quarter, suggesting a positive growth trajectory. Year-over-year, revenue increased by 0.59%, indicating steady growth despite economic volatility.

Net income for the last quarter was $792 million, an increase of 8.94% compared to the previous quarter, showcasing strong profitability. However, year-over-year net income decreased by 31.90%, raising concerns about long-term sustainability.

EBITDA for the last quarter was $999 million, down 14.98% from the prior quarter and down 36.33% year-over-year. These declines in EBITDA indicate potential operational inefficiencies or increased costs that could impact future profitability.

The current Price-to-Earnings (P/E) ratio is 37.01. This relatively high P/E ratio may suggest that the stock is overvalued, which could indicate a bearish outlook among investors.

Technical Analysis

Today's stock price is $63.28, representing a decrease of 3.67% compared to a month ago and a decrease of 11.66% compared to a year ago. This downward trend might be concerning in both the short term and the long term.

However, the trend is currently bullish. The current Simple Moving Average (SMA10) is 62.25, which is higher than the previous SMA10 of 61.92, suggesting a potential upward trend in price movement.

The Relative Strength Index (RSI) is 22.6, indicating that the stock is potentially oversold, which might present a buying opportunity for investors expecting a rebound.

Alternative Data Analysis

According to data from popular job boards, Nike has 790 open positions, a number that has remained stable over the last few months. This indicates a stable company outlook, though the employee sentiment towards the business outlook is neutral and has decreased by 5%, which could be a worrisome trend.

Customer acquisition data is bullish. Nike’s website has an estimated 148 million visitors, up by 27% in the last couple of months. Similarly, Nike's mobile apps are downloaded by an estimated 27,000 users daily, a 7% increase, suggesting robust customer engagement.

Customer engagement on social media platforms reveals mixed results. Nike has 298 million followers on Instagram, with follower numbers remaining constant, and 9.6 million followers on Twitter, down by 5%. This indicates potential concerns about user engagement and interest in the company.

According to AltIndex's AI score, which integrates fundamental, technical, and alternative data, Nike has a score of 41, indicating a "hold" signal.

Conclusion

Based on the data, Nike presents a mixed investment opportunity. The company has demonstrated steady revenue growth and strong net income performance quarter-over-quarter. However, the year-over-year declines in net income and EBITDA are concerning and suggest potential operational challenges.

From a technical perspective, while the stock shows a short-term bullish trend and is potentially oversold, the long-term price decline is worrisome. Alternative data suggests that while customer acquisition is strong, social media engagement is declining, indicating a need for strategic adjustments.

Given these mixed signals, it would be prudent to maintain a "hold" position on Nike stock, closely monitoring both financial health and market conditions for future investment decisions.

Disclaimer: This AI stock analysis, generated by an experimental AI tool, is for informational purposes only and not financial advice. Information is based on publicly available data and may not always be accurate or current.