Nike shares have fallen to their lowest level in more than 12 years, extending a prolonged period of pressure on the athletic-wear giant as investors assess its revenue trajectory, consumer demand and turnaround efforts, according to Cointelegraph.

The decline comes against a challenging operating backdrop for Nike and reflects how closely markets are watching the company’s ability to stabilize performance across its largest channels. In its fiscal 2026 results, the company reported revenue of $46.4 billion, broadly flat from the previous year on a reported basis and down 2% on a currency-neutral basis. Nike Direct revenue fell 6% on a reported basis, while digital sales declined 12%.

China and Direct Sales Remain Key Challenges

Nike's performance has also been weighed down by weakness in Greater China, one of its most important international markets. Revenue in the region fell 13% on a currency-neutral basis in fiscal 2026, while Nike Direct revenue declined 12%. Digital sales in Greater China dropped 29%, highlighting continued pressure on the company's consumer-facing operations.

Nike has been pursuing a broader effort to rebalance its product portfolio, reduce excess inventory and reposition its distribution strategy. The company said it was moving Nike Brand Digital toward a full-price model while reinvesting in wholesale distribution and using markdowns to reduce inventory.

Those steps matter because they affect how Nike reaches customers, manages margins and clears product through its channels. The company’s reporting shows that consumer demand and distribution choices remain central to its near-term results, especially as retail peers continue to face uneven spending patterns and tighter scrutiny on inventory discipline.

Tariffs Add to Investor Concerns

Trade policy has added another layer of uncertainty. Nike's annual filing warned that tariffs, import restrictions and other protectionist measures can increase product costs and negatively affect sales and profitability. The company also recorded a $986 million benefit in fiscal 2026 related to the expected recovery of certain U.S. tariffs following a Supreme Court ruling.

For investors, the stock's decline underscores the challenge facing Nike as it attempts to restore growth while managing regional weakness, changing consumer behavior and cost pressures. The broader retail sector is also closely watching how major brands balance pricing, inventory and supply-chain risks.

The next major focus will be whether Nike's turnaround measures can translate into stronger sales and margins as the company moves through the remainder of its fiscal 2027 cycle.