Nike hits rock bottom as China woes spark dip-buying talk

Nike shares have fallen to a decade-low range between $42 and $46 after a sharp drop from their 2021 peak. 

Market watchers now focus on whether the company can steady sales after weak results in April 2026 and a long slide in investor confidence.

Meanwhile, the stock has erased years of gains and now trades far below its all-time high of $179.10. Technical data showed Nike’s monthly RSI at its lowest level on record, which placed the stock in deeply oversold territory.

Source: Ali Martinez/X

China weakness adds to brand pressure

Nike continues to face heavy pressure in China, which has long served as one of its strongest growth markets. Reports pointed to a projected 20% decline in China sales as local consumer trends shift toward domestic sportswear brands.

Li-Ning and other Chinese companies have gained ground by expanding performance products and targeting mid-to-high-tier buyers. This trend has made it harder for Nike to hold its premium position as younger consumers increasingly favor local labels linked to “Guochao.”

Strategy changes follow softer demand

Nike has also faced weaker results in its lifestyle business. Converse recorded a steep revenue decline, which added to concerns about softer demand in categories that once supported the company’s broader brand appeal.

In response, Chief Executive Elliott Hill has moved to strengthen wholesale ties with retailers such as Foot Locker and Dick’s Sporting Goods. The change marks a step back from the direct-to-consumer model that Nike had pushed for years to support higher margins and tighter control over sales channels.

Moreover, Nike also sold digital fashion unit RTFKT in December 2025, as reported. The move followed an earlier decision to end Web3 services and pause NFT drops, while keeping some gaming-related wearables.

The sale came as the NFT market remained under pressure. Reports said the sector’s market value had dropped more than 67% over the past year, while major platforms shifted strategy and some events shut down. Nike has not disclosed the buyer or the financial terms of the RTFKT sale.

Nike’s board has still shown support during the downturn. Apple Chief Executive Tim Cook, who serves on Nike’s board, reportedly bought about $3 million in Nike shares, while director Bob Swan added about $500,000. Those purchases drew attention as investors weighed whether the company’s current problems reflect a long reset or a deeper decline.