Nike Stock Drops 40% in 2026 Amid Revenue Decline

Nike Inc. saw its stock price fall nearly 40% in 2026, contributing to a total decline of 76.5% over the last five years. This performance contrasts sharply with the S&P 500, which gained 12% during the same period.

The company remains profitable, reporting a net income of $712 million for the first quarter of fiscal 2027. However, leadership expects a high-single-digit percentage drop in revenue for the full 2027 fiscal year, marking a departure from the hypergrowth experienced in 2021.

Nike has increased dividend payouts for 24 consecutive years and currently maintains a dividend yield of 4.2%. Analysts indicate the stock will not be a reliable income investment until the company demonstrates stable revenue generation and improves its full-year forecasts.