Nike Exits S&P 100 Following Nearly 80% Drop from Peak

Featured Story

BY SRH

After a precipitous fall in market value, sportswear behemoth Nike—which for years alienated conservatives by endorsing Colin Kaepernick and putting far-left politics into its brand—was kicked out of the S&P 100.

In its usual quarterly rebalancing, S&P Dow Jones Indices said on Friday that the blue-chip index will have Nike Inc. removed from it before trading starts on September 21.

The downgrade is another serious setback for the once-dominant American brand, whose shares have fallen between 76% and 79% from their all-time high in November 2021. Despite this, the firm will still be included in the larger S&P 500.

Close to the same level as it did twelve years ago, Nike stock ended at $38.40 on September 4.

Even more shocking is the precipitous decline in value. By the year’s end in 2021, Nike had a valuation between $264 billion and $280 billion.Approximately $57 billion was its market cap as of the beginning of September 2026.

The value has been reduced by over $200 billion.

It Had Been Nearly 18 Years Since Nike Booted. For nearly 18 years, beginning in December 2008, Nike was a member of the S&P 100.Included in the index are some of the most well-known and substantial American corporations that are part of the S&P 500.

Colgate-Palmolive, Simon Property Group, Honeywell Aerospace, and Nike will all be removed off the list.Because of the move, funds that follow the S&P 100 will need to rebalance their holdings, which might lead to more automated sales of Nike shares near the effective date.The impact on passive investment will be much smaller because Nike is still included in the S&P 500, compared to when the business was also removed from that index.

Yet, Nike’s precipitous decline is borne out by the fact that it has been absent from the S&P 100 for almost twenty years. The problems at Nike go far beyond the current state of the company’s stock price.

Don't Miss

2/2/24: Regional Bank Stocks Are Crashing Again…

By StevieRay Hansen

by Tyler Durden Yesterday it was NYCB that grabbed the headlines and spoiled Powell’s day. Read moreSecond ex Barclays banker convicted in London Euribor re-trialAs…

2/1/24: Senator Sherrod Brown Takes on the Fed’s Support of Wealth Stripping the Middle Class

By StevieRay Hansen

By Pam Martens and Russ Martens: Read moreSatan Soldiers Will Stop at Nothing: Inside Wall Street’s Plan to Start Trading America’s Natural ResourcesSenator Sherrod Brown Smart Americans…

1/31/24: JPMorgan Chase Has Used the Same Auditor for 58 Years, Despite Giant Frauds at the Bank in the Last Nine Years

By StevieRay Hansen

By Pam Martens and Russ Martens: Read moreSecond ex Barclays banker convicted in London Euribor re-trialJamie Dimon Sits in Front of Trading Monitor in his Office (Source:…

1/30/24: The Fed Has a Dirty Little Secret: It’s Been Allowing the Wall Street Mega Banks to Calculate their Own Capital Requirements

By StevieRay Hansen

By Pam Martens and Russ Martens: Read moreSnyder: “Brace For Impact!” The US Economy Is Going Down, And It’s Going Down Hard…Michael Barr, Vice Chair for Supervision,…

1/29/24: Us Bankruptcies Surged 18% in 2023 and Seen Rising Again in 2024

By StevieRay Hansen

(Reuters) – U.S. bankruptcy filings surged by 18% in 2023 on the back of higher interest rates, tougher lending standards and the continued runoff of…

Posted in

Stevie Ray

Leave a Reply

Your email address will not be published. Required fields are marked *