NIKE Price To Sales vs. Total Debt
| NKE Stock | 14.72 0.07 0.48% |
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. These fundamental indicators attest to how well NIKE Inc CDR utilizes its assets to generate profit and value for its shareholders. The profitability module also shows relationships between NIKE's most relevant fundamental drivers. It provides multiple suggestions of what could affect the performance of NIKE Inc CDR over time as well as its relative position and ranking within its peers.
NIKE |
NIKE Inc CDR Total Debt vs. Price To Sales Fundamental Analysis
Comparative valuation techniques use various fundamental indicators to help in determining NIKE's current stock value. Our valuation model uses many indicators to compare NIKE value to that of its competitors to determine the firm's financial worth. NIKE Inc CDR is considered to be number one stock in price to sales category among its peers. It also is rated top company in total debt category among its peers making up about 390,785,845 of Total Debt per Price To Sales. Comparative valuation analysis is a catch-all model that can be used if you cannot value NIKE by discounting back its dividends or cash flows. This model doesn't attempt to find an intrinsic value for NIKE's Stock. Still, instead, it compares the stock's price multiples to a benchmark or nearest competition to determine if the stock is relatively undervalued or overvalued.NIKE Total Debt vs. Price To Sales
Price to Sales ratio is typically used for valuing equity relative to its own past performance as well as to performance of other companies or market indexes. In most cases, the lower the ratio, the better it is for investors. However, it is advisable for investors to exercise caution when looking at price-to-sales ratios across different industries.
NIKE |
| = | 2.57 X |
The most critical factor to remember is that the price of equity takes a firm's debt into account, whereas the sales indicators do not consider financial leverage. Generally speaking, Price to Sales ratio shows how much market values every dollar of the company's sales.
Total Debt refers to the amount of long term interest-bearing liabilities that a company carries on its balance sheet. That may include bonds sold to the public, notes written to banks or capital leases. Typically, debt can help a company magnify its earnings, but the burden of interest and principal payments will eventually prevent the firm from borrow excessively.
NIKE |
| = | 1.01 B |
In most industries, total debt may also include the current portion of long-term debt. Since debt terms vary widely from one company to another, simply comparing outstanding debt obligations between different companies may not be adequate. It is usually meant to compare total debt amounts between companies that operate within the same sector.
NIKE Total Debt vs Competition
NIKE Inc CDR is rated top company in total debt category among its peers. Total debt of Consumer Discretionary industry is now estimated at about 19.85 Billion. NIKE holds roughly 1.01 Billion in total debt claiming about 5% of stocks in Consumer Discretionary industry.
NIKE Profitability Projections
The most important aspect of a successful company is its ability to generate a profit. For investors in NIKE, profitability is also one of the essential criteria for including it into their portfolios because, without profit, NIKE will eventually generate negative long term returns. The profitability progress is the general direction of NIKE's change in net profit over the period of time. It can combine multiple indicators of NIKE, where stable trends show no significant progress. An accelerating trend is seen as positive, while a decreasing one is unfavorable. A rising trend means that profits are rising, and operational efficiency may be rising as well. A decreasing trend is a sign of poor performance and may indicate upcoming losses.
| Last Reported | Projected for Next Year | ||
| Net Interest Income | 161 M | 169.1 M | |
| Operating Income | 6.3 B | 5.2 B | |
| Net Income From Continuing Ops | 5.7 B | 4.5 B | |
| Income Before Tax | 6.7 B | 5.2 B | |
| Total Other Income Expense Net | 228 M | 185.6 M | |
| Net Income | 5.7 B | 4.5 B |
NIKE Profitability Driver Comparison
Profitability drivers are factors that can directly affect your investment outlook on NIKE. Investors often realize that things won't turn out the way they predict. There are maybe way too many unforeseen events and contingencies during the holding period of NIKE position where the market behavior may be hard to predict, tax policy changes, gold or oil price hikes, calamities change, and many others. The question is, are you prepared for these unexpected events? Although some of these situations are obviously beyond your control, you can still follow the important profit indicators to know where you should focus on when things like this occur. Below are some of the NIKE's important profitability drivers and their relationship over time.
Use NIKE in pair-trading
One of the main advantages of trading using pair correlations is that every trade hedges away some risk. Because there are two separate transactions required, even if NIKE position performs unexpectedly, the other equity can make up some of the losses. Pair trading also minimizes risk from directional movements in the market. For example, if an entire industry or sector drops because of unexpected headlines, the short position in NIKE will appreciate offsetting losses from the drop in the long position's value.NIKE Pair Trading
NIKE Inc CDR Pair Trading Analysis
The ability to find closely correlated positions to NIKE could be a great tool in your tax-loss harvesting strategies, allowing investors a quick way to find a similar-enough asset to replace NIKE when you sell it. If you don't do this, your portfolio allocation will be skewed against your target asset allocation. So, investors can't just sell and buy back NIKE - that would be a violation of the tax code under the "wash sale" rule, and this is why you need to find a similar enough asset and use the proceeds from selling NIKE Inc CDR to buy it.
The correlation of NIKE is a statistical measure of how it moves in relation to other instruments. This measure is expressed in what is known as the correlation coefficient, which ranges between -1 and +1. A perfect positive correlation (i.e., a correlation coefficient of +1) implies that as NIKE moves, either up or down, the other security will move in the same direction. Alternatively, perfect negative correlation means that if NIKE Inc CDR moves in either direction, the perfectly negatively correlated security will move in the opposite direction. If the correlation is 0, the equities are not correlated; they are entirely random. A correlation greater than 0.8 is generally described as strong, whereas a correlation less than 0.5 is generally considered weak.
Correlation analysis and pair trading evaluation for NIKE can also be used as hedging techniques within a particular sector or industry or even over random equities to generate a better risk-adjusted return on your portfolios.Use Investing Themes to Complement your NIKE position
In addition to having NIKE in your portfolios, you can quickly add positions using our predefined set of ideas and optimize them against your very unique investing style. A single investing idea is a collection of funds, stocks, ETFs, or cryptocurrencies that are programmatically selected from a pull of investment themes. After you determine your investment opportunity, you can then find an optimal portfolio that will maximize potential returns on the chosen idea or minimize its exposure to market volatility.Did You Try This Idea?
Run Cleaning Thematic Idea Now
Cleaning
Compnanies producing and distributing cleaning products, supplies, and accessories. The Cleaning theme has 38 constituents at this time.
You can either use a buy-and-hold strategy to lock in the entire theme or actively trade it to take advantage of the short-term price volatility of individual constituents. Macroaxis can help you discover thousands of investment opportunities in different asset classes. In addition, you can partner with us for reliable portfolio optimization as you plan to utilize Cleaning Theme or any other thematic opportunities.
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Other Information on Investing in NIKE Stock
To fully project NIKE's future profitability, investors should examine all historical financial statements. These statements provide investors with a comprehensive snapshot of the financial position of NIKE Inc CDR at a specified time, usually calculated after every quarter, six months, or one year. Three primary documents fall into the category of financial statements. These documents include NIKE's income statement, its balance sheet, and the statement of cash flows.