Fundsmith 13F: Exits NIKE (NKE) Stake

Fundsmith Exits NIKE Stake Entirely

Fundsmith completely exited its investment in NIKE, Inc. (NYSE:NKE) during the period, parting ways with all 5,770,181 shares it held previously. Because Form 13F filings look backward at holdings from the end of the reporting period, this move shows the fund's position as of that date and may not reflect its current portfolio. The complete sell-off wiped out a stake that had previously numbered nearly 5.8 million shares.

NIKE Stock Trades Below Long-Term Averages

Shares of NIKE change hands around $41.05, sitting well below the 200-day moving average of $47.52 and closer to the lower end of its 52-week trading range of $31.97 to $70.44. The athletic footwear and apparel maker carries a price-to-earnings ratio of 17.86 based on trailing results. The company has a forward P/E of 22.42 as markets look ahead to future profitability.

Recent Earnings and Financial Health

NIKE reported annual revenue of $45.89 billion alongside a revenue growth rate of -4.3%. The company posted earnings of $2.08 per share, supported by a net profit margin of 6.74% and a return on equity of 21.56%. Its next quarterly earnings update is scheduled for December 17, 2026.

Dividend Payments Offer Steady Income

The company distributes an annual dividend yielding 4.42%, backed by a payout ratio of 78.85% of earnings.

Wall Street Analysts Adjust Targets

Analyst firms have taken a cautious stance on the footwear giant recently. On October 5, 2026, Barclays maintained its Overweight rating while lowering its price target to $37.00 from $48.00. Freedom Broker upgraded the stock to a Buy on October 2, 2026, lowering its target to $51.00 from $54.00. UBS kept a Neutral rating on October 2, 2026, cutting its target to $34.00 from $42.00. Telsey Advisory Group maintained a Market Perform rating on October 2, 2026, moving its target to $35.00 from $44.00. Citigroup kept a Neutral rating on October 2, 2026, lowering its target to $32.00 from $39.00. Morgan Stanley maintained an Underweight rating on October 2, 2026, reducing its target to $27.00 from $31.00. BNP Paribas reiterated an Underperform rating on October 2, 2026, lowering its target to $19.00 from $23.00. Goldman Sachs maintained a Neutral rating on October 2, 2026, cutting its target to $30.00 from $38.00. Across the broader analyst community, the stock holds a consensus recommendation of Hold with a mean price target of $37.67 across 36 opinions.

Inside the Business Operations

Headquartered in Beaverton, Oregon, NIKE designs, manufactures, and markets athletic footwear, apparel, equipment, and accessories worldwide. The company sells its products through wholesale accounts, digital platforms, and its own retail stores under brand names including Nike, Jordan, and Converse.

What to Watch at NIKE, Inc.

Investors will look to upcoming institutional filings to see if other major funds follow Fundsmith's lead or choose to rebuild positions. The company's next earnings report in December will provide further details on revenue trends and profit margins.