Nike (NKE) is down over the last month, with shares of the sports apparel seller down 28%. The stock in total is down even further from its peak, falling 69% from the $169.28 all-time high reached on November 5, 2021. In 2025, most of the US stock market has plunged, especially as US President Donald Trump’s new economic policy runs rampant. The latest tariffs, although now paused for 90 days, sent shivers through big companies like Nike that rely heavily on exports from foreign nations, including China.
In the last four fiscal quarters, Nike’s top line has declined on a year-over-year basis. Nike’s sales trends are also very worrying when you consider the rest of the industry. Long-time competitors like Adidas and Puma posted growth in their latest fiscal years, while NKE has fallen.
Additionally, Nike’s shares are not very volatile and have only had 7 moves greater than 5% over the last year. Moves this big are rare for Nike and indicate this news significantly impacted the market’s perception of the business. With other clothing companies also in the red during Thursday’s trading sessions, the impact of the Trump tariffs is noticeable marketwide. With this rare dip, should one consider this as a buying opportunity for Nike (NKE) stock?
Should You Invest in Nike Stock?
Nike stock (NKE) is trading near the bottom of its 52-week range and below its 200-day simple moving average. Analysts aren’t very hopeful of the stock at press time, projecting further dropoff. However, that doesn’t mean that you should panic-sell. Over the next 12 months, analysts at CNN suggest that the stock could rebound by 42% to $77.46. Even further, the analysts project a high of $120.00 for the stock. While this is down from projections entering 2025, it still marks a 120% potential ROI.
Out of 41 analysts surveyed by CNN business, over half suggest that you should invest in the stock, while nearly all of the other half suggest holding onto shares and waiting for growth. Only 5% of those surveyed say now is the time to sell NIKE stock. At the end of the day, Nike is still one of the world’s most recognizable brands. Decades of marketing prowess, high-profile athlete endorsements, partnerships with top sports leagues, and new product releases have allowed the company to resonate strongly with consumers worldwide. The notorious check logo is known globally, and it remains an industry leader in clothing.
Also Read: Amazon Tells Consumers to Expect Prices to Rise Due to Tariffs
The uncertain US economic environment, particularly with the tariffs announced that could negatively impact Nike’s profitability, sparks concerns. Therefore, investors who have a lot of patience and are comfortable with more risk should be buying the stock amid this current dip. It may take a few years to see Nike (NKE) shares reap huge profits again.