Why Is Nike Stock Falling on Wednesday?

Nike Inc. (NYSE:NKE) stock declined on Wednesday, primarily due to weaker-than-expected corporate earnings from key retail partner Dick’s Sporting Goods Inc. (NYSE:DKS), which raised concerns over a prolonged turnaround for the footwear giant.

The drop coincided with a rating cut from Wall Street.

The Nasdaq is down 0.09% while the S&P 500 has shed 0.05%, and Nike is lagging a sector that’s already weaker on the day.

• Nike stock is testing key support levels. Why is NKE stock at lows?

Nike is also trading below its recent 52-week low zone (the 52-week low was $38.86, versus the current $38.52), which can keep pressure on as stops trigger and dip-buyers wait for a clearer base.

On Wednesday, Truist Securities downgraded Nike stock to Hold from Buy and lowered its price forecast to $42 from $47.

Retail Partner Earnings Signal Pressure

The pressure follows Tuesday’s earnings report from Dick’s Sporting Goods, which had its shares fall roughly 25% after cutting full-year adjusted earnings guidance to $11 to $12 per share. The retailer posted a $31.9 million second-quarter segment loss at Foot Locker, less than a year after completing its $2.5 billion acquisition.

Foot Locker Challenges Weigh Broadly

Foot Locker’s second-quarter comparable sales fell 3.6%. Executive Chairman Ed Stack cited an increasingly promotional retail environment alongside heavy reliance on sneaker drops, retro releases and older footwear styles. Stack stated, “Not only were there fewer launches in the second quarter, but those launches performed below both industry and our expectations.”

Technical Analysis

From a trend perspective, Nike remains in a clear longer-term downtrend: it’s trading 6.1% below the 20-day SMA, 8.7% below the 50-day SMA, 10.9% below the 100-day SMA, and 26.4% below the 200-day SMA. The 20-day SMA is also below the 50-day SMA, and the stock is still living with the "Death Cross" that formed in November 2025 (50-day SMA below the 200-day SMA).

NKE Stock Price Activity: Nike shares were down 2.44% at $38.52 at the time of publication on Wednesday, according to Benzinga Pro data.

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