Nike's Dow Seat on Shaky Ground as Share Price Plummets

Nike's spot in the Dow Jones Industrial Average is under threat as its share price continues to fall. The sportswear giant has seen an 80% slump in market value over the past five years due to slowing sales and lack of innovation.

The company was removed from the S&P 100 index this month, a move attributed to Nike's struggles with competition from upstarts.

Analysts believe that Nike's small weight in the Dow, at just 0.4%, makes it a candidate for removal. The company's share price of $36 is also significantly lower than the top-weighted stock, Goldman Sachs, which trades at around $968.

A Reuters analysis found that half of the last 10 changes to the Dow involved the stock with the smallest weight at the time of its removal.