News · Yahoo Finance

Why Is Nike Stock Falling, and Is It a Buying Opportunity?

Nike's stock has fallen 41.7% over the past year and 76.5% over the past five years, even though the company remains profitable and has a turnaround plan. The article blames a lack of innovation, failure to keep pace with changing consumer tastes, a shift away from wholesalers toward direct sales, and weakness in China, where Greater China sales fell 22% to $1.1 billion in Q1 fiscal 2027. Total first-quarter sales fell 4% to $11.2 billion, and net income fell 2% to $712 million. Nike expects fiscal 2027 revenue to drop by a high-single-digit percentage and plans to cut 1,400 jobs. The author argues there are few near-term catalysts to reignite investor interest, so betting on a rebound carries both risk and opportunity cost.

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