pros play it smart!
so be a pro and play the game right. Nike was a damn good buy. and it ain't too late yet. thing is, to be a pro, you gotta look smart and act smart. and that means numbers.
two numbers for NKE u'll know telling you to buy. (i've posted up some links in case you have no clue what these term'in-ologies mean):
PEG ratio: their number tells us the most, and it'll tell you what to expect in the future to make some good cash. over the past 10 years or so, Nike's average PEG crunched up to 1.82. the most recent four quarters of earnings came to $5.23, and everyone thinks 2007 will impress nicely with $6.05 per share. count your fingers and you'll get about a 16% growth rate. the PEG-based share price tells you to expect $149.
P/E Ratio: a number at 18.36. thing is this was from their past earnings. use what we expect for 2007, $6.05, and we have a P/E-based share price that will be $111. besides, everyone else on their turf averages out to a P/E of 24.85. making NKE lookin cheap, sounds good too.
both numbers are different, but both are higher than now, so add the two together and you know Nike's price should go up. it's still dangling at $97.50. sounds good, looks good.
jump like nike, jump with nike.