Nike overpaid $7.9 billion buying back its own stock
What happened
The company paid an average $97.57 apiece for 124.4 million of its own shares since June 2022, and its stock opened for trading today at $33.70, leaving Nike’s purchases with a $7.9 billion opportunity cost. Nike stock since its share repurchase program began in June 2022.
The opportunity cost of Nike’s stock buybacks now reaches nearly $8B, and its repurchase program is on pause with $5.9B left. The post Nike overpaid $7.9 billion buying back its own stock appeared first on Protos .
Sportswear company Nike spent roughly $12.1 billion on buybacks for stock that would now be worth about $4.2 billion. Technically, Nike retired the shares it repurchased, so although it doesn’t literally have a loss on its investment, realized or otherwise, the math is otherwise identical.
Sources & evidence
- Protos Reporting source
Nike overpaid $7.9 billion buying back its own stock ↗
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