# NIKE, Inc. (NKE)

> Designs and sells athletic shoes, clothes, and sports gear under Nike, Jordan, and Converse brands.

- Exchange: NYSE · Sector: Consumer Discretionary · Industry: Footwear and Accessories
- Headquarters: Beaverton, Oregon, United States
- Founded: 1964
- Employees: 79100 (as of May 31, 2024)
- SEC CIK: 0000320187 ([filings on EDGAR](https://www.sec.gov/cgi-bin/browse-edgar?action=getcompany&CIK=0000320187))
- Full page: https://inspectstocks.com/stocks/nke
- Data as of: price 2026-09-25; newest filing used 2026-07-15; latest fiscal period ended 2026-05-31

## Grade

**D** on the growth-and-cash rubric, 2 of 5 checks passed.

| Check | Result | Now | Before |
| --- | --- | --- | --- |
| Revenue growing overall | failed | $46.4B | $51.2B |
| Revenue growing recently | passed | $46.4B | $46.3B |
| Free cash flow positive | passed | $2.2B |  |
| Free cash flow growing overall | failed | $2.2B | $4.9B |
| Free cash flow growing recently | failed | $2.2B | $3.3B |

Business quality (the + / − mark): 3 of 5 checks passed.

| Check | Result | Now | Before |
| --- | --- | --- | --- |
| Profitable | passed | 6.7% |  |
| Healthy profit margin | failed | 6.7% |  |
| Good return on equity | passed | 20.9% |  |
| Debt under control | passed | 0.74 |  |
| Turns sales into cash | failed | 4.7% |  |

How the grade works: the letter counts failed checks (none → A, one → B, two → C, three → D, four or more → F). It is built from SEC filings only — the share price never enters it — and describes the business, not whether the stock is worth buying.

## Key figures

In US dollars, as filed.

| Measure | Value |
| --- | --- |
| Revenue, trailing twelve months | $46.4B |
| Net income, trailing twelve months | $3.1B |
| Free cash flow, trailing twelve months | $2.2B |
| Net margin | 6.7% |
| Return on equity | 20.9% |
| Debt to equity | 0.74 |
| Diluted EPS, trailing twelve months | $2.09 |
| Share price | $35.75 |
| Market value | $52.9B |
| Price / earnings | 17.1x |
| Price / sales | 1.1x |

## What the business does

Nike designs athletic and casual shoes, clothing, and sports equipment, then sells them around the world. It markets products under the Nike name, the separate Jordan Brand, and Converse. Shoppers buy through Nike’s own stores and website, and through other retailers such as sporting-goods chains and department stores. The company uses athlete sponsorships and advertising to promote the brands.

### How it makes money

- **Footwear** (about 65% (fiscal year ended May 31, 2024)) — Money comes from selling shoes—running, basketball, training, soccer, and lifestyle styles—either in bulk to other retailers or directly to shoppers in Nike stores and on nike.com, plus Converse shoes.
- **Apparel** (about 30% (fiscal year ended May 31, 2024)) — Money comes from selling clothing such as shirts, shorts, pants, jackets, and sports bras through the same wholesale retailers and Nike-owned stores and website.
- **Equipment and other** (about 5% (fiscal year ended May 31, 2024)) — Money comes from bags, socks, balls, protective gear, eyewear, and similar accessories sold wholesale and direct to consumers.

### Products

- **Nike footwear** — Athletic and casual shoes for running, basketball, training, soccer, and everyday wear, sold under the Nike name.
- **Nike apparel** — Clothing for sport and everyday use, including tops, bottoms, outerwear, and sports bras under the Nike name.
- **Jordan Brand** — Basketball-focused shoes and clothing sold under the separate Jordan name, tied to the Michael Jordan legacy.
- **Converse** — Casual canvas and lifestyle shoes and related clothing, best known for Chuck Taylor All Star styles.
- **Nike equipment** — Sports gear such as balls, bags, socks, shinguards, and similar accessories.

### Customers

- Individual shoppers who buy shoes and clothes on nike.com, in Nike-owned stores, or in Converse stores
- Wholesale retailers such as Foot Locker, Dick’s Sporting Goods, department stores, and similar chains that stock Nike, Jordan, and Converse products
- Sports teams, schools, and leagues that purchase uniforms and team gear

### Competitors

- Adidas (ADDYY) — Athletic footwear, apparel, and sports marketing worldwide
- Puma (PUMSY) — Athletic and lifestyle footwear and apparel
- Under Armour (UAA) — Performance apparel, footwear, and sports gear, especially in North America
- lululemon athletica (LULU) — Premium athletic and lifestyle apparel and some footwear
- New Balance — Running and lifestyle footwear and apparel (privately held)
- VF Corporation (VFC) — Lifestyle and action-sports footwear and apparel through brands such as Vans (parent company listing)

### What it depends on

- Heavy reliance on the Nike, Jordan, and Converse brand names and on high-profile athlete and celebrity endorsements to drive demand
- Contract manufacturing concentrated in Vietnam, China, Indonesia, and other Asian countries rather than Nike-owned factories
- Meaningful sales in Greater China, so results depend on demand and competition in that market
- Wholesale partners (large sporting-goods and footwear retailers) still account for a large share of sales alongside Nike’s own stores and website
- Consumer spending on non-essential fashion and sports products

### What could go wrong

- Loss of cultural relevance or brand heat among younger buyers would directly cut demand for full-price footwear and apparel
- Supply disruption or cost spikes from factories and shipping routes concentrated in Asia, including trade policy and geopolitical tension
- Weaker demand or share loss in Greater China, where local brands and other global sportswear makers compete aggressively

## More on this company

- [Overview](https://inspectstocks.com/stocks/nke)
- [Financial statements](https://inspectstocks.com/stocks/nke/financials)
- [Competitors](https://inspectstocks.com/stocks/nke/peers)
- [Earnings](https://inspectstocks.com/stocks/nke/earnings)

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Source: InspectStocks, built from the company’s own SEC filings. This describes a business — it is not investment advice and not a recommendation to buy or sell anything.