Nike’s falling share price and 80% market-value decline have intensified scrutiny over its Dow position, while S&P 100 removal, competition and weak sales add pressure.
NEW YORK, September 17, 2026-Nike’s declining share price and sharply reduced market value are putting increased attention on its position in the Dow Jones Industrial Average (DJIA). The sportswear company has been a member of the blue-chip index since 2013, but its recent stock-market performance has been significantly weaker than the broader U.S. market. The issue has gained additional importance after S&P Dow Jones Indices announced that Nike will be removed from the S&P 100 before trading begins on September 21, 2026, ending its approximately 18-year membership.
Nike shares have remained under significant pressure during 2026, recently trading around $36.55 and reaching a new 52-week low. The stock has declined for four consecutive trading sessions and is down more than 42% since the beginning of the year. Over longer periods, Nike has lost approximately 39% over one year, 58.6% over three years and 71.2% over five years, compared with its 2021 high of nearly $180.
The prolonged decline has also reduced Nike’s influence within the Dow Jones Industrial Average. Because the Dow is a price-weighted index, Nike’s lower share price means it now accounts for only about 0.4% of the index, the smallest weighting among its 30 constituents. Nike also has the lowest weighting among S&P 500 companies, ranking around 213th. In addition, the company is set to leave the S&P 100 on September 21, bringing its approximately 18-year run in the index to an end.
Nike’s underlying profitability has also weakened. Its operating margin, which previously remained in the mid-to-high teens before the pandemic, has fallen to below 9%. The company has also reported weaker performance in its Direct and Nike Digital businesses as it places greater emphasis on wholesale operations and traditional retail partners. The decline in its share price has brought Nike’s market capitalization to approximately $60 billion.
From a valuation perspective, Nike’s stock is trading roughly 17% below the analyst consensus target of $51.30. The company currently offers a dividend yield of around 3.83%, although concerns remain about whether the dividend is sufficiently supported by free cash flow. Recent momentum has also remained weak, with the stock losing another 5.4% over the past 30 days, adding to pressure on the company and its standing in major U.S. equity indexes.
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Nike to Exit the S&P 100
The immediate development attracting investor attention is Nike’s scheduled removal from the S&P 100. S&P Dow Jones Indices announced that Nike would leave the index as part of its quarterly rebalancing, with the change taking effect before trading begins on September 21. Nike has been part of the S&P 100 for approximately 18 years.
The S&P 100 represents 100 major U.S. companies, while the Dow contains 30 selected companies and follows a different methodology. Therefore, Nike’s departure from the S&P 100 does not automatically mean that it will be removed from the Dow. Nevertheless, the timing has increased scrutiny because both indexes represent important segments of the U.S. equity market, and Nike’s declining valuation has changed its position relative to other large companies.
The S&P 100 exit follows a substantial decline in Nike’s market capitalization. The reduction in Nike’s market value is linked to weaker sales, difficulties in maintaining product momentum and stronger competition from newer brands. These factors have also contributed to the company’s weaker stock performance and increased investor focus on its turnaround efforts.
Market Value Falls Sharply
Nike’s market value has declined dramatically over the past five years. The company has lost approximately 80% of its market value during this period. The decline represents a major change from Nike’s earlier position as one of the world’s most valuable sportswear companies.
Nike’s own 2026 annual report provides additional evidence of the company’s stock-market underperformance. Its five-year performance graph shows that a hypothetical $100 investment in Nike on May 31, 2021, would have been worth approximately $37 by 2026, assuming dividends were reinvested. During the same period, the corresponding S&P 500 total-return investment grew to approximately $194. The comparison demonstrates the considerable gap between Nike’s shareholder returns and those of the broader U.S. market.
The decline in market value has occurred as Nike has faced several business challenges. The company has been attempting to regain momentum after periods of weaker demand, changes in consumer preferences and greater competition in athletic footwear and apparel. Specifically cited slowing sales, innovation challenges and competition from newer brands among the factors behind the decline.
Share Price Becomes a Key Concern
Nike’s stock has remained under heavy pressure, recently falling to around $35.80, its lowest level in nearly 12 years. The shares have declined close to 40% in 2026 and are now almost 80% below the November 2021 record high of approximately $179. The sharp fall has increased concerns about the company’s recovery and future growth prospects.
The stock decline reflects ongoing challenges in Nike’s business, particularly weak demand in key markets and uncertainty over the pace of its turnaround. China remains a major concern, as domestic brands such as Anta and Li Ning continue to strengthen their positions and compete for consumers. Higher tariffs are also increasing costs for products manufactured outside the U.S. and sold in the American market.
CEO Elliott Hill has acknowledged continued pressure on revenue but has highlighted improvement in performance categories. Nike is also shifting its strategy toward wholesale partnerships and sport-focused products, reducing its previous reliance on direct-to-consumer sales.
The company is scheduled to leave the S&P 100 on September 21, adding to concerns surrounding its declining market position. Despite the stock weakness, Nike’s fiscal 2026 revenue remained broadly stable at $46.4 billion. Investors will closely watch the company’s October 1 fiscal 2027 first-quarter results for evidence of improving demand and progress in its turnaround strategy.
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Nike Has Underperformed the Broader Market
Nike’s long-term performance since entering the Dow has been another important factor behind the current discussion. Moreover, Nike shares have increased by only about 5% since the company joined the Dow in 2013, while the S&P 500 has more than quadrupled during the same period.
Nike’s annual-report data similarly shows the scale of its more recent underperformance. Between May 2021 and May 2026, Nike’s hypothetical $100 investment declined to approximately $37, while the S&P 500 total-return benchmark rose to around $194. Nike also underperformed the Dow Jones U.S. Footwear Index during the five-year period, according to the company’s annual report.
The weaker stock performance reflects broader concerns about Nike’s business outlook. The company has faced pressure to refresh its product pipeline, strengthen consumer demand and respond to competitors that have gained attention in running and other athletic categories.
Nike’s Portfolio
Fig: Nike, Inc
- North America
North America is Nike’s largest geographic market, contributing approximately 45% of Nike Brand revenue in fiscal 2026. The region remained an important source of growth during the year, helping offset weakness in other markets. Stronger wholesale performance supported results as Nike continued shifting toward retail partnerships. The region is therefore an important part of the company’s strategy to rebuild sales momentum and strengthen its overall business performance.
- Asia Pacific
Nike’s Asia-Pacific business remains an important part of its international operations, while Greater China continues to face significant pressure. Nike reports Asia-Pacific together with Latin America under its APLA segment, which generated $6.24 billion in Nike Brand revenue in fiscal 2026, broadly flat year-on-year. Meanwhile, Greater China, reported separately, recorded $5.85 billion in revenue, down 11%, with footwear declining 15% and apparel falling 7% on a currency-neutral basis. NIKE Direct revenue in Greater China also dropped 12%, while digital sales declined 29%. Competition from domestic sportswear brands and weaker consumer demand continue to weigh on the region. Nike is therefore focusing on performance products, stronger wholesale partnerships and improved consumer engagement to rebuild momentum across Asia-Pacific and China.
- Latin America
Latin America is also included within Nike’s APLA segment, which represented around 14% of Nike Brand revenue in fiscal 2026. The region offers longer-term opportunities through expanding sportswear consumption and Nike’s established brand presence. However, Nike combines Latin America with Asia Pacific in its financial reporting and does not provide a separate FY2026 revenue figure for Latin America. Therefore, the 14% figure applies to APLA as a whole, not Latin America alone.
- Europe
Europe is an important part of Nike’s EMEA business and represents a major international market for its footwear, apparel and sports products. Nike generated $12.57 billion in combined EMEA revenue in fiscal 2026, down from $13.61 billion a year earlier. The company has faced softer demand across the region, making stronger product performance, consumer engagement and wholesale relationships important to its international recovery.
- Middle East
The Middle East is also included within Nike’s EMEA reporting segment, so Nike does not disclose a separate revenue figure for the region. Its performance is therefore reflected in the overall $12.57 billion EMEA revenue recorded in FY2026. For Nike, the Middle East provides opportunities for sportswear and lifestyle-product growth, while changing consumer demand and broader economic conditions can influence regional sales and retail performance.
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Nike’s Turnaround Remains Important
Nike’s future performance will depend largely on its ability to improve its underlying business rather than simply its index membership. The company is attempting to rebuild its product pipeline, strengthen its brand and improve its relationship with consumers. CEO Elliott Hill has been leading these efforts since returning to the company in 2024.
The company’s stock-market performance will therefore remain closely linked to its financial recovery. A sustained improvement in revenue, profitability and consumer demand could influence investor perceptions of the company, while continued weakness could maintain pressure on its valuation. Nike’s annual report cautions that historical stock performance should not be interpreted as an indicator of future returns.
