Nike is being removed from the S&P 100 after 18 years, following a 78% stock crash.
The sportswear giant will exit the index during its quarterly rebalance later in September. Dell Technologies, Palo Alto Networks, Arista Networks, and SanDisk are set to take its place, along with the spots vacated by three other departing companies.
The scale of Nike’s decline is staggering. Since its 2021 peak, the company has shed roughly $200 billion in market value. Stock prices this summer hit lows not seen in more than a decade.
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According to an original report, Forbes tied Nike’s collapse to several compounding failures, including an over-reliance on older product lines, a flawed direct-to-consumer strategy, weakened wholesale relationships, and rising competition from brands like Hoka and On. Forbes also noted that the S&P 100 shift reflects a broader market move toward tech and AI infrastructure, away from traditional consumer giants.
The problems did not appear overnight. Nike’s association with former San Francisco 49ers quarterback Colin Kaepernick drew intense national attention after he knelt during the national anthem at an NFL game, making him a polarizing figure in American culture. Nike embraced him as a sponsor, a decision that generated immediate backlash and contributed to a reported 15-point hit to the company’s stock at the time.
Even President Donald Trump weighed in, posting on social media and asking what Nike was thinking. For many consumers, particularly football fans, Kaepernick’s protest was seen as disrespect toward the country, the military, law enforcement, the flag, and the national anthem. That sentiment translated directly into purchasing decisions.
Nike did enjoy a short-lived recovery, posting an economic spike in 2021. But that rebound did not hold. Sales declined steadily, consumer preferences shifted, and competitors gained ground. The company failed to adapt quickly enough to any of it.
Now the S&P 100 exit makes the situation official in a very public way. The index removal is not just a financial footnote. It signals that Wall Street no longer sees Nike among the 100 most significant companies in the American market, a category it occupied for nearly two decades.
The company that built itself into a global cultural icon, one synonymous with elite athletic performance and bold marketing, is now being replaced in a marquee index by technology firms. That contrast tells its own story.
Whether Nike can reverse course remains an open question. What is not in question is the scale of the damage. A $200 billion loss in market value, a stock at decade-low prices, and now removal from a major index represent a compounding crisis that started with a single sponsorship decision and snowballed from there.
