Nike Inc. is an American sportswear company that was founded in January 1964. The company has become the world's largest athletic apparel, footwear, and equipment company with revenues of 12.39 billion and 76,000 employees worldwide. Nike Inc. markets products under numerous brands such as Air Jordan, Nike Golf, Nike Pro, Air Force 1, Air Max, and Nike + to name a few. In 1980, Nike Inc. (symbol: NKE) became a publicly traded company which has a current stock price of $124.24 and dividend yield of 1.09%.

As of March 30, 23, Nike Inc. dividend data is as follows.

Price: $125.53

Market Capitalization: $192.55 Billion

52-week Range: $82.22 - 134.93

Revenue 2023: $12.39 Billion

EPS Estimate 3.46

Dividend Yield: 1.09 %

Annual dividend: $1.36

Ex-dividend date: 03/03/23

P/E ratio: 36.28

Complete Required Return on Nike Inc.'s stock using the Security Market Line (SML) method.

Table 1

The tabular representation of Nike Inc. ratios.

Variables	Values		Ratios	Values
LTD	$ 8,925,000,000	1	Current Ratio	2.73
Inventory	$ 8,905,000,000	2	Quick Ratio	1.79
Total Assets	$38,290,000,000	3	Total Debt Ratio	0.48
Total Liabilities	$23,760,000,000	4	Inventory Turnover	5.69
Current Assets	$26,040,000,000	5	Total Asset Turnover	1.32
Current Liabilities	$ 9,550,000,000	6	Profit Margin	10.82
Total Retained Earnings	$ 2,152,000,000	7	Return on assets	13.75
Common Stocks	$ 1,240,000,000	8	Return on Equity	35.98
Equity	$14,530,000,000	9	Book to Market	2.20
Number of Shares	$ 1,543,800,000	10	Equity Multiplier Ratio	2.64
Net Income	$ 5,480,000,000	11	Price to Earnings	36.28
Sales	$50,626,000,000
Share Holder Equity	$14,530,000,000

*The financial statements of Nike Inc. for February 2023 from where the above figures were derived is attached on the appendix section .

Answer rating: 100% (QA)

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