Is NKE a good dividend producing stock?

**Nike (NKE) is not a good dividend producing stock due to its low dividend yield, high payout ratio, and declining dividend growth duration**, Here's why: 1. **Low Dividend Yield**: Nike's dividend yield is **2.06%**, which is relatively low and not attractive for income-focused investors. 2. **High Payout Ratio**: The payout ratio is **-71.45%**, which is negative and suggests that the company is not generating enough free cash flow to cover its dividend payments. A high payout ratio can indicate that a company is retaining a large portion of its earnings, which may impact its ability to sustain and grow its dividend payments over time. 3. **Declining Dividend Growth Duration**: Nike has a dividend growth duration of **12 years**, and the dividend yield yoy growth rate is **-0.07%**, which is a decline from its previous growth rate. This indicates that the company's dividend payments may be at risk of declining in the near future. 4. **Dividend Sustainability Concerns**: The market appears to be implying considerable doubt about the sustainability of Nike's dividend. Cutting the dividend could be a catalyst for stock outperformance. 5. **Financial Health**: Despite these concerns, Nike has a strong underlying business and is investing in areas like innovation and sustainability, which could support future growth and dividend sustainability. In conclusion, while Nike has a strong underlying business and is investing in areas that could support future growth and dividend sustainability, its low dividend yield, high payout ratio, and declining dividend growth duration make it a risky investment for income-focused investors. The company's dividend may be at risk of declining in the near future, and investors should exercise caution when considering Nike as a dividend-producing stock.