Nike Slumps Near 52-Week Low as China Slump and Soft Outlook Keep Pressure on Turnaround
Nike shares slipped again on Wednesday, hovering just above a fresh 52-week low as investors remained skeptical about the sportswear giant's turnaround plans.
The stock traded at $37.06 around 12:09 p.m. Eastern, down $1.04, or 2.74%, from its previous close. This marks another decline for Nike, which has seen its shares drop roughly 79% from their November 2021 peak of $179.
The company's recent quarterly results, released on June 30, showed flat revenue and a 3% decline in earnings per share. The results were largely attributed to the ongoing slump in China, where sales fell 17% in constant currency. This was better than the 20% drop the company had flagged three months earlier but still worse than the 10% decline in the third quarter.
Nike's Chief Executive Elliott Hill acknowledged that the turnaround 'is taking longer than I would like,' and Chief Financial Officer Matthew Friend cited a volatile environment with tariff risk, Middle East disruption, and weak sentiment tied to high oil prices. The company guided first-quarter fiscal 2027 revenue down in the low-to-mid single digits, with no currency tailwind, and said the first half of the new year would still shrink.