Nike faces S&P 100 removal and massive market value loss

Nike Inc. is facing significant financial and reputational challenges. The company has been removed from the S&P 100 index after 18 years, marking a major shift in its status as a blue-chip stock. This follows a massive decline in market value, with reports indicating a loss of over $220 billion since its peak in late 2021. Shares have recently traded near 12-year lows.

Several factors are contributing to this downturn. Analysts have lowered price targets due to slowing global consumer demand, increased market competition, and a highly promotional environment in Western markets. Additionally, the brand has faced setbacks in athlete partnerships, such as Kylian Mbappé switching to represent On Holding.

Beyond financial metrics, Nike is navigating legal and cultural scrutiny. A lawsuit filed in September 2026 alleges a sexual assault involving a participant in the Nike Elite Program in Beaverton, Oregon. The company also continues to deal with the fallout from past internal culture issues and criticisms regarding its marketing strategies and brand positioning.