Market Value Added (MVA)
Market value added (MVA) is the difference between a firm fair value and its invested capital. MVA is a measure of the value a company has created in excess of the resources already committed to the enterprise.
MVA
Nike Inc., MVA calculation
US$ in millions
Based on: 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).
1 Fair value of debt. See details »
2 Invested capital. See details »
| Item | Description | The company |
|---|---|---|
| MVA | Nike Inc. market (fair) value less invested capital. | Nike Inc. MVA decreased from 2021 to 2022 and from 2022 to 2023. |
MVA Spread Ratio
Nike Inc., MVA spread ratio calculation, comparison to benchmarks
| May 31, 2023 | May 31, 2022 | May 31, 2021 | May 31, 2020 | May 31, 2019 | May 31, 2018 | ||
|---|---|---|---|---|---|---|---|
| Selected Financial Data (US$ in millions) | |||||||
| Market value added (MVA)1 | 151,996) | 161,662) | 241,743) | 148,269) | 128,237) | 114,364) | |
| Invested capital2 | 20,394) | 21,137) | 21,022) | 19,083) | 14,182) | 15,218) | |
| Performance Ratio | |||||||
| MVA spread ratio3 | 745.30% | 764.83% | 1,149.95% | 776.97% | 904.20% | 751.49% | |
| Benchmarks | |||||||
| MVA Spread Ratio, Competitors4 | |||||||
| lululemon athletica inc. | 823.41% | 1,048.09% | 1,047.39% | 793.45% | 713.46% | — | |
Based on: 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).
1 MVA. See details »
2 Invested capital. See details »
3 2023 Calculation
MVA spread ratio = 100 × MVA ÷ Invested capital
= 100 × 151,996 ÷ 20,394 = 745.30%
4 Click competitor name to see calculations.
| Performance ratio | Description | The company |
|---|---|---|
| MVA spread ratio | The ratio of MVA to invested capital. It measures the efficiency with which investors’ capital investment has translated into a franchise value and into an aggregate net present value premium. | Nike Inc. MVA spread ratio deteriorated from 2021 to 2022 and from 2022 to 2023. |
MVA Margin
Nike Inc., MVA margin calculation, comparison to benchmarks
| May 31, 2023 | May 31, 2022 | May 31, 2021 | May 31, 2020 | May 31, 2019 | May 31, 2018 | ||
|---|---|---|---|---|---|---|---|
| Selected Financial Data (US$ in millions) | |||||||
| Market value added (MVA)1 | 151,996) | 161,662) | 241,743) | 148,269) | 128,237) | 114,364) | |
| Revenues | 51,217) | 46,710) | 44,538) | 37,403) | 39,117) | 36,397) | |
| Performance Ratio | |||||||
| MVA margin2 | 296.77% | 346.10% | 542.78% | 396.41% | 327.83% | 314.21% | |
| Benchmarks | |||||||
| MVA Margin, Competitors3 | |||||||
| lululemon athletica inc. | 457.15% | 649.40% | 866.84% | 596.68% | 530.94% | — | |
Based on: 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).
1 MVA. See details »
2 2023 Calculation
MVA margin = 100 × MVA ÷ Revenues
= 100 × 151,996 ÷ 51,217 = 296.77%
3 Click competitor name to see calculations.
| Performance ratio | Description | The company |
|---|---|---|
| MVA margin | The ratio of MVA to sales. It measures how efficiently and prodigiously sales translate into franchise value. | Nike Inc. MVA margin ratio deteriorated from 2021 to 2022 and from 2022 to 2023. |