Nike Earnings Are On Deck

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Nike (NYS: NKE) is expected to report Q4 earnings on June 28. Here's what Wall Street wants to see:

The 10-second takeaway
Comparing the upcoming quarter to the prior-year quarter, average analyst estimates predict Nike's revenues will increase 12.9% and EPS will expand 10.5%.

The average estimate for revenue is $6.51 billion. On the bottom line, the average EPS estimate is $1.37.


Revenue details
Last quarter, Nike reported revenue of $5.85 billion. GAAP reported sales were 15% higher than the prior-year quarter's $5.08 billion.

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Source: S&P Capital IQ. Quarterly periods. Dollar amounts in millions. Non-GAAP figures may vary to maintain comparability with estimates.

EPS details
Last quarter, EPS came in at $1.20. GAAP EPS of $1.20 for Q3 were 11% higher than the prior-year quarter's $1.08 per share.

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Source: S&P Capital IQ. Quarterly periods. Non-GAAP figures may vary to maintain comparability with estimates.

Recent performance
For the preceding quarter, gross margin was 43.8%, 200 basis points worse than the prior-year quarter. Operating margin was 13.0%, 60 basis points worse than the prior-year quarter. Net margin was 9.6%, 70 basis points worse than the prior-year quarter.

Looking ahead
The full year's average estimate for revenue is $24.17 billion. The average EPS estimate is $4.92.

Investor sentiment
The stock has a four-star rating (out of five) at Motley Fool CAPS, with 2,176 members out of 2,305 rating the stock outperform, and 129 members rating it underperform. Among 648 CAPS All-Star picks (recommendations by the highest-ranked CAPS members), 622 give Nike a green thumbs-up, and 26 give it a red thumbs-down.

Of Wall Street recommendations tracked by S&P Capital IQ, the average opinion on Nike is outperform, with an average price target of $108.24.

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The article Nike Earnings Are On Deck originally appeared on Fool.com.

Seth Jaysonhad no position in any company mentioned here at the time of publication. You can view his stock holdings here. He is co-advisor ofMotley Fool Hidden Gems, which provides new small-cap ideas every month, backed by a real-money portfolio. Motley Fool newsletter services have recommended buying shares of Nike. Motley Fool newsletter services have recommended creating a diagonal call position in Nike. Try any of our Foolish newsletter services free for 30 days. We Fools may not all hold the same opinions, but we all believe that considering a diverse range of insights makes us better investors. The Motley Fool has a disclosure policy.

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