Nike Leaves S&P 100 After 78% Stock Decline

S&P Dow Jones Indices said on September 4 that Nike will leave the S&P 100 before trading opens on September 21. The shares closed Friday at $38.40, about 78% below their record close in November 2021.

Nike shares reached $177.51 in November 2021. In the company's third quarter of fiscal 2021, direct sales rose 15% and Greater China revenue increased 42% on a currency-neutral basis. Pandemic-era online spending and rapid growth in China supported the stock at the time.

After the peak, then-Chief Executive John Donahoe continued shifting products to Nike's websites and stores while reducing supply to wholesale partners. By the time shoppers returned to physical retailers, Nike had surrendered shelf space and Hoka, On and New Balance were expanding their running-shoe displays. Digital growth did not hold, forcing Nike to repair its retailer relationships.

During those years, Nike pushed large volumes of Dunk and Air Force 1 shoes. Repeated releases and discounting made the products feel less fresh. As running gained popularity, specialist shoes became a source of growth, and sales of Nike's lifestyle models did not recover the market share taken by rivals.

Nike's full-year results show fiscal 2026 revenue of $46.4 billion, flat as reported and down 2% on a currency-neutral basis. Net income fell 3%. Wholesale revenue rose 6%, while Nike Direct revenue declined 6% and digital sales fell 12%.

Nike's annual filing puts Greater China revenue at $5.847 billion, down 13% on a currency-neutral basis. Anta and Li Ning expanded their presence in the domestic market. Declines in China and Europe, the Middle East and Africa offset part of the recovery in North American wholesale sales.

Converse revenue fell 31% for the year. At the end of May, Nike's inventory value was unchanged from a year earlier even though unit volumes had increased, with product mix offsetting the rise. Elliott Hill, who returned to Nike as chief executive in 2024, is cutting promotions, clearing older products, rebuilding wholesale distribution and directing more resources to sports such as running.

S&P Dow Jones Indices gave Nike's place to Palo Alto Networks. Dell Technologies, Arista Networks and Sandisk are also joining the S&P 100 in the same rebalance, which takes effect before the market opens on September 21.