# Nike corporate turnaround and market performance > Live situation record from CLSTR: https://clstr.news/situations/nike-corporate-turnaround-and-market-performance > Updated: 2026-09-08T20:18:29.000Z. Sources: 6. Developments: 2. NIKE, Inc. has initiated a strategic turnaround involving a shift in its Greater China operations to focus on flagship platforms rather than numerous online distributors. While Q4 FY26 earnings initially exceeded market expectations due to gross margin improvements, the company faced macroeconomic headwinds that reduced free cash flow to $2.18 billion and led to a reduction in share buybacks. Following a decline in stock value, the company is scheduled to be removed from the S&P 100 Index on September 21, 2026, due to reduced market capitalization. CEO Elliott Hill has defended the long-term strategy, stating the company is “building for the next decade” with a focus on innovation and marketing. Despite these company-specific struggles, analysts suggest the broader running footwear market remains strong, with U.S. sales in the category growing 13 percent in the first half of 2026. ## Timeline ### 2026-09-08: Nike CEO Elliott Hill defends turnaround strategy amid stock decline Nike CEO Elliott Hill is prioritizing long-term innovation to drive a turnaround, even as the company faces removal from the S&P 100. Meanwhile, UBS remains bullish on the broader running footwear market. 6 sources. https://clstr.news/cluster/nike-ceo-elliott-hill-defends-turnaround-strategy-amid-stock-decline ### 2026-08-13: NIKE, Inc. reports Q4 FY26 earnings beat amid strategic turnaround NIKE, Inc. beat Q4 FY26 market expectations amid a strategic turnaround and margin improvements, even as free cash flow declined and institutional investors increased their holdings. 2 sources. https://clstr.news/cluster/nike-inc-reports-q4-fy26-earnings-beat-amid-strategic-turnaround --- Cite as: Nike corporate turnaround and market performance. CLSTR, https://clstr.news/situations/nike-corporate-turnaround-and-market-performance