NIKE, Inc. (NKE) Valuation

Valuation

Model-based estimates, not advice. The DCF is the discounted-cash-flow value per share; compare it with the price, not as a target.

DCF fair value

+27.0%

$50.22

vs $39.55 price

Levered DCF

$45.68

After debt service

Piotroski score

5 / 9

Average

Altman Z-score

3.46

Safe zone

Rating

A-

Overall 4 / 5

Ratios by fiscal year

Margins and yields are shares of revenue, equity or price; multiples are ×.

Metric	FY2026	FY2025	FY2024	FY2023	FY2022	FY2021	FY2020	FY2019
P/E	21.87×	27.92×	25.28×	32.19×	31.03×	36.95×	61.07×	30.25×
P/B	4.58×	6.81×	10×	11.66×	12.28×	16.57×	19.26×	13.48×
P/S	1.47×	1.94×	2.81×	3.19×	4.02×	4.75×	4.15×	3.12×
EV / EBITDA	15.75×	18.77×	18.75×	22.88×	24.63×	27.74×	37.75×	22.01×
Gross margin	42.9%	42.7%	44.6%	43.5%	46.0%	44.8%	43.4%	44.7%
Operating margin	8.2%	8.0%	12.3%	11.5%	14.3%	15.6%	8.3%	12.2%
Net margin	6.7%	7.0%	11.1%	9.9%	12.9%	12.9%	6.8%	10.3%
Current ratio	1.96×	2.21×	2.4×	2.72×	2.63×	2.72×	2.48×	2.1×
Debt / equity	0.74×	0.83×	0.83×	0.87×	0.83×	1×	1.62×	0.38×
Interest coverage	76×	12.81×	24.18×	20.9×	22.86×	24×	21.63×	38.48×
Dividend yield	3.5%	2.6%	1.5%	1.2%	1.0%	0.8%	0.9%	1.1%
Payout ratio	77.4%	71.5%	38.1%	39.7%	30.4%	28.6%	57.2%	33.1%

Key metrics by fiscal year

Metric	FY2026	FY2025	FY2024	FY2023	FY2022	FY2021	FY2020	FY2019
Return on equity	20.9%	24.4%	39.5%	36.2%	39.6%	44.9%	31.5%	44.6%
Return on invested capital	10.7%	11.6%	18.5%	16.8%	19.9%	20.9%	11.5%	25.2%
Return on assets	8.1%	8.8%	15.0%	13.5%	15.0%	15.2%	8.1%	17.0%
Free cash flow yield	3.2%	3.6%	4.6%	3.0%	2.4%	2.8%	0.9%	3.9%
Earnings yield	4.6%	3.6%	4.0%	3.1%	3.2%	2.7%	1.6%	3.3%
Enterprise value	$71.6B	$93.5B	$146.3B	$168B	$191.7B	$214.5B	$159.8B	$120.9B
Net debt / EBITDA	0.76×	0.71×	0.27×	0.64×	0.52×	0.38×	1.1×	-0.18×
Cash conversion cycle (days)	100	92	91	100	110	96	115	91