Nike will be removed from the S&P 100, the U.S. benchmark index of large-cap blue chips, after holding a place in it for 18 years. More than $220 billion (about 305 trillion won) in market value has evaporated since the stock peaked in 2021, and artificial intelligence and digital technology companies will take the spots being vacated.
Out of the Top 100 U.S. Blue Chips After 18 Years, With 305 Trillion Won in Market Value Gone
Nike will be excluded from the S&P 100 before the U.S. market opens on the 21st as part of a quarterly rebalancing, S&P Dow Jones Indices said on the 6th. It is the first time the company has been dropped from the index since it was added about 18 years ago. Nike will remain in the S&P 500, which comprises 500 leading U.S. companies.
The S&P 100 tracks large-cap blue chips that represent the U.S. economy, selected from the S&P 500 based on factors including market capitalization and liquidity. Honeywell Aerospace, Simon Property Group and Colgate-Palmolive will also be removed in this reshuffle.
Their places will be filled by Dell Technologies, Palo Alto Networks, Arista Networks and SanDisk. Sports and consumer goods companies are being pushed out, and in come technology companies with strengths in AI infrastructure, cybersecurity and data storage.
Nike's decline is written plainly in its share price. The stock closed at $38.40 on the 4th, its lowest level in about 12 years. Market capitalization has shrunk to roughly $57 billion, down more than $220 billion, or about 80%, from about $281 billion at its November 2021 peak.
A Push Into Online Sales Left Openings for Rivals, and Revenue Has Gone Nowhere
The problem is not confined to the share price. Nike's revenue in fiscal 2026 was $46.4 billion, virtually unchanged from a year earlier. Excluding currency effects, it fell 2%.
By channel, Nike's direct sales fell 6% and online sales dropped 12%. Converse revenue plunged 31%. Wholesale revenue, by contrast, rose 6%.
Market watchers point to Nike's earlier heavy focus on direct-to-consumer online sales, which weakened its relationships with established retailers, as one cause of the slump. Under former Chief Executive Officer John Donahoe, the argument goes, the push toward digital and data-driven marketing eroded the company's traditional wholesale distribution network and its product development capability.
Rivals moved into the space Nike left behind. In running in particular, On and Hoka rapidly built their presence. Nike's share of the global sports footwear market fell to 22.9% in 2025, a third straight annual decline, according to Euromonitor.
The slump in China stings as well. Nike's Greater China revenue in fiscal 2026 was $5.85 billion, down 13% excluding currency effects. On the same basis, footwear revenue fell 15% and digital sales dropped 29%.
In its annual report, Nike said fewer store visits in China, heavy discounting by competitors and high inventory levels were weighing on revenue and profitability. The growth of homegrown Chinese sports brands such as Anta and Li-Ning has intensified the competition further.
Nike Turns Back to Wholesale: 'Recovery Will Take Time'
Nike has begun unwinding its earlier strategy. Chief Executive Officer Elliott Hill, who took the job in October 2024, is focused on repairing relationships with wholesale partners and strengthening product innovation and sports-centered brand marketing.
The company is also retooling digital sales from a discount-driven channel into a full-price platform, while working to clear built-up inventory and speed up new product launches. Some see early signs of a recovery in the North American running shoe business.
Still, it will take time for earnings to return to past levels. Nike's fiscal 2026 revenue of $46.4 billion falls short of the $51.4 billion it posted in fiscal 2024. The company itself expects weakness in Greater China and at Converse to persist through fiscal 2027.
