NIKE WENT FROM $264B TO $57B AND WAS KICKED OUT OF S&P 100 AFTER 18 YEARS

NIKE WENT FROM $264B TO $57B AND WAS KICKED OUT OF S&P 100 AFTER 18 YEARS IS NIKE FAILING? NIKE'S STOCK HAS FALLEN 78% FROM ITS 2021 PEAK OF $179 TO $38. MARKET CAP COLLAPSED FROM $264 BILLION TO $57 BILLION. REVENUE FELL 9.7% OVER TWO YEARS. NET PROFIT NEARLY HALVED FROM $5.7 BILLION TO $3.1 BILLION. COMPETITORS FILLED THEIR PARTNER SHELVES. IN 2017, NIKE WENT ALL-IN ON DIRECT-TO-CONSUMER CUTTING WHOLESALE PARTNERSHIPS AND REDUCING SUPPLY TO MAJOR RETAILERS LIKE FOOT LOCKER. THE RETAILERS NIKE ABANDONED DID NOT SIT EMPTY. HOKA, ON, AND NEW BALANCE FILLED EVERY SHELF NIKE WALKED AWAY FROM. WHO WON WHILE NIKE WATCH. HOKA GREW REVENUE 15.9% TO $2.6 BILLION. ON GREW 30% TO $3 BILLION. NEW BALANCE JUMPED 19% TO $9.2 BILLION. THESE BRANDS BUILT THEIR AUDIENCES IN THE WHOLESALE STORES NIKE DECIDED IT NO LONGER NEEDED. IS THE CEO THE PROBLEM? ELLIOTT HILL IS REPAIRING WHOLESALE RELATIONSHIPS REFOCUSING ON SPORT AND REBUILDING DISTRIBUTION. THE VOMERO 18 GENERATED OVER $100 MILLION IN ITS FIRST THREE MONTHS. BUT SHARES ARE DOWN 56% SINCE HILL TOOK OVER IN OCTOBER 2024. THE S&P 100 VERDICT. NIKE IS BEING REPLACED IN THE S&P 100 BY DELL TECHNOLOGIES, PALO ALTO NETWORKS, ARISTA NETWORKS, AND SANDISK. THE INDEX THAT ONCE CELEBRATED NIKE AS A BLUE-CHIP ICON NOW SEES IT AS A CONSUMER BRAND THE MARKET HAS MOVED ON FROM. HOW CAN NIKE BOUNCE BACK? NIKE ABANDONED THE RETAILERS THAT BUILT ITS CULTURE CHASED DIRECT-TO-CONSUMER MARGINS AND CAME BACK TO FIND ITS COMPETITORS HAD TAKEN ITS PLACE ON EVERY SHELF IT VACATED. THE DISTRIBUTION CHANNEL IS A BRAND DECISION. WALK AWAY FROM WHERE YOUR CUSTOMERS DISCOVER YOU, AND SOMEONE ELSE WILL BE THERE WHEN THEY ARRIVE. JOIN THE REBELLION. FOLLOW FINANCIAL REBELLION FOR STOCK BREAKDOWNS THAT MAKE SENSE. SAVE THIS POST. CAN NIKE MAKE A COMEBACK?