Stock Analysis on Net

Nike Inc. (NYSE:NKE)

$24.99

Price to Book Value (P/BV)
since 2005

Microsoft Excel

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Calculation

Nike Inc., P/BV, long-term trends, calculation

Microsoft Excel

Based on: 10-K (reporting date: 2024-05-31), 10-K (reporting date: 2023-05-31), 10-K (reporting date: 2022-05-31), 10-K (reporting date: 2021-05-31), 10-K (reporting date: 2020-05-31), 10-K (reporting date: 2019-05-31), 10-K (reporting date: 2018-05-31), 10-K (reporting date: 2017-05-31), 10-K (reporting date: 2016-05-31), 10-K (reporting date: 2015-05-31), 10-K (reporting date: 2014-05-31), 10-K (reporting date: 2013-05-31), 10-K (reporting date: 2012-05-31), 10-K (reporting date: 2011-05-31), 10-K (reporting date: 2010-05-31), 10-K (reporting date: 2009-05-31), 10-K (reporting date: 2008-05-31), 10-K (reporting date: 2007-05-31), 10-K (reporting date: 2006-05-31), 10-K (reporting date: 2005-05-31).

1 US$

2 Data adjusted for splits and stock dividends.

3 Closing price as at the filing date of Nike Inc. Annual Report.

The share price of the company demonstrates a general upward trajectory over the analyzed period, with notable fluctuations. Starting at $10.48 in July 2005, the price saw moderate increases and some declines, reaching a peak of $159.74 in July 2021. However, after this peak, there was a marked decline to $71.41 by July 2024. This pattern indicates significant growth over the long term, interrupted by volatility and a downward adjustment in the most recent years.

The book value per share (BVPS) shows a steady increase from $2.70 in July 2005 to $9.74 in July 2022, suggesting consistent growth in the company's net asset value per share. Nevertheless, there is a sharp drop to $0.10 in July 2024, an anomalous figure compared to the prior trend, raising concerns about recent valuation or accounting changes.

The price-to-book value (P/BV) ratio initially fluctuates between approximately 2.93 and 7.83 from 2005 to 2017, reflecting market valuation multiples that are somewhat stable with moderate growth. The ratio then escalates sharply to reach an exceptionally high 697.13 in July 2024, largely driven by the drastic decline in BVPS combined with the maintained share price levels. This extreme ratio suggests an extraordinary market valuation anomaly or possible data inconsistency in the final period.

In summary, the data reveals strong share price appreciation over nearly two decades, aligned with a general increase in book value per share, pointing to underlying company growth. The recent years' volatility, highlighted by a peak share price followed by decline and an irregular drop in BVPS, results in highly abnormal valuation multiples, warranting further investigation into the causes of these discrepancies.


Comparison to Competitors


Comparison to Sector (Consumer Durables & Apparel)


Comparison to Industry (Consumer Discretionary)