Nike, Inc. (NYSE: NKE)
Trading Action Overview
Shares of Nike, the widely popular maker of sneakers and running shoes in the world known for its Motto-”Just Do It” reported earnings on Thursday September 24, 2015 that sent the shares soaring higher in after-hours trading. Nike shares traded little changed in the regular trading session, closing at $114.79 which was down $0.64 on the day; however, it soared higher to close at $124.36, or up $9.57 as of 8 p.m.
Nike has now reported better than expected profits for their 9th straight quarter. The company said net income rose 23 percent to $1.18 billion, or $1.34 per share, in the quarter, higher than the $1.19 analysts on average had expected. Revenue from North America, Nike’s largest market, rose 8 percent. Footwear sales, the largest source of revenue, increased 9 percent. New footwear launches in the basketball, running, and sports categories are helping Nike draw customers toward higher-priced products and its direct-to-consumer (DTC) channel, while the “athleisure” trend is driving sales of athletic apparel.
Here is a daily price chart of Nike since the beginning of 2015. Notice the green up trending line rising at about a 45 degree angle. This typically indicates a strong and resilient price trend. Also, notice the 4 green arrows at the trend line showing a successful test of that area. From there, the stock moves higher in each case. Note as well the red resistance line and red arrow indicating above resistance which easily blew through in the after-hours trading session. Most traders will look to go long and buy this stock after breaking through that resistance.
About Nike, Inc.
NIKE, Inc., together with its subsidiaries, designs, develops, markets, and sells athletic footwear, apparel, equipment, and accessories for men, women, and kids worldwide. The company offers products in eight categories, including running, basketball, football, mens training, womens training, sportswear, action sports, and golf under the NIKE and Jordan brand names. It also markets products designed for kids, as well as for other athletic and recreational uses, such as cricket, lacrosse, tennis, volleyball, wrestling, walking, and outdoor activities. In addition, the company sells sports apparel and accessories; and markets apparel with licensed college and professional team and league logos. Further, it sells a line of performance equipment, including bags, socks, sport balls, eyewear, timepieces, digital devices, bats, gloves, protective equipment, golf clubs, and other equipment under the NIKE brand name for sports activities; various plastic products to other manufacturers; athletic and casual footwear, apparel, and accessories; casual sneakers, apparel, and accessories under the Converse, Chuck Taylor, All Star, One Star, Star Chevron, and Jack Purcell trademarks; and action sports and youth lifestyle apparel and accessories under the Hurley trademark. NIKE, Inc. sells its products to footwear stores; sporting goods stores; athletic specialty stores; department stores; skate, tennis, and golf shops; and other retail accounts through NIKE-owned retail stores and Internet Websites (direct to consumer operations), as well as a mix of independent distributors and licensees. The company was formerly known as Blue Ribbon Sports, Inc. and changed its name to NIKE, Inc. in 1971. NIKE, Inc. was founded in 1964 and is headquartered in Beaverton, Oregon. Yahoo! Finance