CA - Nike Dividend Yield Indicates It Is Time To Initiate A Position

2024-07-21 22:40:37 ET

Summary

• NKE stock price is less than half of its all-time high, with a dividend yield of 2.00%.
• Dividend yield analysis suggests that NKE rarely yields more than 2%, making the current level a potential buying opportunity.
• Despite concerns about dividend safety, NKE's earnings per share comfortably cover the dividend, with potential for a dividend increase in the future.

Scanning through charts over the weekend, I came across NIKE, Inc. ( NKE ) (NKE:CA) the global athletic footwear and apparel company out of Beaverton, Oregon. Most people know NKE to be a well-known brand that sells a product that everyone needs, footwear, and I was surprised to see that the stock was selling for less than half of its all-time high of $173.32, which was reached in November 2021. Then I wondered what the dividend yield was and saw that it is at 2.00%. In this article, I will outline what happened in the past when NKE's dividend exceeded 2%, and I will discuss some metrics from the most recent earnings report that indicate to me that the dividend is not in jeopardy....

For further details see: