Nike Stock Sinks to 12-Year Low as Downgrades Mount

Nike's shares have been declining steadily this year, reaching a 12-year low at $35.75 on Friday, down 44% from earlier in the year.

Bank of America was among the latest to downgrade Nike, cutting its price target to $30 and pushing back its expected sales recovery to fiscal 2028.

The bank's analysts pointed to several key issues facing the company, including weak consumer demand for sportswear, intense competition from rivals such as On and Hoka, and promotional pressure on prices.

Nike has been trying to improve its distribution and product offerings under new CEO Elliott Hill, but so far results have been mixed. The company's improved sell-in to retailers has not yet translated into strong consumer sales, raising concerns that future orders may weaken if shelves do not clear quickly enough.