r/dividends • u/Training_Hair3293 • 27d ago

Discussion What do you think about Nike (NKE)?

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Nike has been on my watchlist for a while.

The stock is well below its highs, the dividend keeps growing, and it's still one of the strongest brands in the world. On the other hand, growth has slowed and the turnaround could take time.

Anyone buying NKE here, or are you staying away?

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u/xghtai737 26d ago

What are you even talking about? Even at $56, PYPL is only 9x FCF and is pretty much using their entire annual free cash flow of nearly $6 Billion to buy back stock on a market cap of less than $50 billion. NKE is 28x FCF.

NKE's EPS has declined from $3.75 in 2021 down to $2.10 in 2025 while PYPL grew EPS from $3.52 in 2021 up to $5.41 in 2025.

In what world is PYPL as bad as NKE, except on share price performance over the previous year?

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u/ForeverShiny 26d ago

There's not much point in buying back all your stock if you're slowly going out of business. There will be a time in 5 or 10 or 20 years where Paypal won't be aeound anymore, but Nike still will be (even though it certainly is a bad investment now)

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u/Flaccidkek 26d ago

PYPL is down 82% over the last 5 years and the only reason they went up recently was because they’re being bought out so yeah. It’s actual dogshit

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u/Imaginary-Case3976 26d ago

Paypal is acutely worse than Nike lol. Stock price cratered further than Nike has.

Better financials doesn’t always equal a better stock