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Nike (NYSE:NKE) has long been one of the most recognizable brands in the world — a powerhouse that dominated sneakers, apparel and global culture for decades.
But lately, their story has taken a sharp turn.
Shares of the athletic giant have fallen roughly 75% from their peak in late 2021, wiping out nearly $200 billion in market value. At the same time, profits have taken a hit, with the latest earnings report showing a 35% drop in net income (1).
Behind the scenes, even leadership is sounding worn down.
“I’m so tired and I know you are too, of talking about fixing this business,” CEO Elliott Hill said during a recent internal meeting, Bloomberg reported (2). “You can’t just sit there and say everything’s great.”
Chief Financial Officer Matthew Friend struck a similarly cautious tone, noting that the “trajectory for the business was stepping down” and “our business is not moving in the right direction.”
In an emailed statement to Bloomberg, a Nike spokesperson said: “It was a direct conversation about where we are seeing real progress, where we need to move faster and what it will take to win. The discussion reflected the same reality we shared externally: urgency, transparency, focus and a determination to restore growth.”
The company has been navigating a difficult transition in recent years — from shifting consumer preferences and increased competition to supply chain adjustments and a push toward direct-to-consumer sales.
Some critics (3) have pointed to Nike’s marketing choices and cultural positioning, arguing that the brand has leaned too far into social issues — and that it’s now paying the price (4).
The phrase “go woke, go broke” has resurfaced (5) in online commentary around the company’s recent struggles.
But that explanation may be too simplistic.
Nike’s challenges reflect a broader set of pressures facing the retail and consumer goods sector. Rising costs, changing consumer habits, inventory missteps and intensifying competition from brands like On and Hoka have all played a role.
In other words, this isn’t just about messaging — it’s about execution, strategy and a rapidly evolving market.
And those pressures have been showing up in Nike’s financials.
In Nike’s fiscal Q3 ended Feb. 28, revenue totaled $11.28 billion, flat on a reported basis and down 3% year over year on a currency neutral basis. Earnings per share came in at 35 cents, down 35% compared to a year ago.
Notably, those numbers actually beat Wall Street expectations, as analysts were projecting earnings of 28 cents per share on $11.24 billion in revenue (6).
Yet Nike shares still tumbled 8.4% following the release.
What appeared to disappoint investors was the outlook. During the earnings call, management said that the company expects revenue for the current quarter to decline 2% to 4%, compared to Wall Street’s projection for a 1.9% increase. The company also warned that sales in Greater China could fall by roughly 20%.
For the calendar year, Nike expects revenue to decline by a low-single digit percentage.
While Nike stock has now plunged to a decade low, not everyone is bearish. Following the report, Jefferies analyst Randy Konik reiterated a “Buy” rating on the stock, calling it “very attractive” at current levels. Konik set a price target of $90 — roughly 110% above where shares trade today (7).
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For investors, Nike stock’s downturn is a reminder that even the biggest names can falter — underscoring the importance of building a diversified portfolio.
Rather than relying solely on stocks, many investors look to spread their risk across different asset classes that can behave differently in times of uncertainty.
According to Ray Dalio, founder of the world’s largest hedge fund, Bridgewater Associates, one of the most time-tested ways to do that is through gold.
“People don’t have, typically, an adequate amount of gold in their portfolio,” he told CNBC last year. “When bad times come, gold is a very effective diversifier.”
Long viewed as the ultimate safe haven, gold isn’t tied to any single country, currency or economy. It can’t be printed out of thin air like fiat money and in times of economic turmoil or geopolitical uncertainty, investors tend to pile in — driving up its value.
Despite a recent pull back, gold prices have surged by more than 45% over the past 12 months.
One way to invest in gold that also provides significant tax advantages is to open a gold IRA with the help of Priority Gold.
Gold IRAs allow investors to hold physical gold or gold-related assets within a retirement account, thereby combining the tax advantages of an IRA with the protective benefits of investing in gold, making it an option for those looking to help shield their retirement funds against economic uncertainties.
When you make a qualifying purchase with Priority Gold, you can receive up to $10,000 in precious metals for free.
Like stocks, real estate has its cycles, but it doesn’t rely on a booming market to generate returns.
Even in a downturn, high-quality, essential real estate can continue to produce income through rent. In other words, you don’t have to wait for prices to rise to see a payoff — the asset itself can work for you.
In fact, investing legend Warren Buffett has often pointed to real estate as a prime example of a productive, income-generating asset.
In 2022, Buffett stated that if you offered him “1% of all the apartment houses in the country” for $25 billion, he would “write you a check.”
Real estate also provides a natural hedge against inflation. When inflation rises, property values often increase as well, reflecting the higher costs of materials, labor and land. At the same time, rental income tends to go up, providing landlords with a revenue stream that adjusts with inflation.
Of course, you don’t need $25 billion — or even to buy a single property outright — to invest in real estate today. mogul, a crowdfunding platform, offers an easier way to get exposure to this income-generating asset class.
It’s a real estate investment platform offering fractional ownership in blue-chip rental properties, which gives investors monthly rental income, real-time appreciation and tax benefits — without the need for a hefty down payment or 3 a.m. tenant calls.
Founded by former Goldman Sachs real estate investors, the team hand-picks the top 1% of single-family rental homes nationwide for you. In other words, you gain access to institutional-quality offerings for a fraction of the usual cost.
Each property undergoes a rigorous vetting process, requiring a minimum 12% return even in downside scenarios. Across the board, the platform features an average annual IRR of 18.8%. Offerings often sell out in under three hours, with investments typically ranging between $15,000 and $40,000 per property.
You can sign up for an account and then browse available properties here.
Another option is Lightstone DIRECT, which offers accredited investors access to institutional-quality multifamily and industrial real estate — with a minimum investment of $100,000.
Founded in 1986 by David Lichtenstein, Lightstone Group is one of the largest privately held real estate investment firms in the U.S., with more than $12 billion in assets under management.
Over nearly-four decades, their team has delivered strong, risk-adjusted performance across multiple market cycles — including a 27.6% historical net IRR and a 2.54x historical net equity multiple on realized investments since 2004.
With Lightstone DIRECT, you gain access to the same multifamily and industrial deals Lightstone pursues with its own capital.
Here’s the kicker: Lightstone invests at least 20% of its own capital in every deal — roughly four times the industry average. With skin in the game, the firm ensures its interests are directly aligned with those of its investors.
Prominent investors like Dalio often stress the importance of diversification — and for good reason. Many traditional assets tend to move in tandem, especially during periods of market stress.
That message feels especially relevant today. Nearly 40% of the S&P 500’s weight is concentrated in its ten largest stocks and the index’s CAPE ratio hasn’t been this high since the dot-com boom.
This is where, for many investors, alternative assets come into play. These can include everything from real estate and precious metals to private equity and collectibles.
But there’s one store of value that routinely flies under the radar: It’s scarce by design, coveted worldwide and frequently locked away by institutions.
We’re talking about post-war and contemporary art — a category that has outpaced the S&P 500 with low correlation since 1995.
It’s easy to see why art pieces often fetch new highs at auctions: The supply of the best works of art is limited and many of the most desirable pieces have already been snatched up by museums and collectors. That scarcity can also make art an attractive option for investors looking to diversify and preserve wealth during periods of high inflation.
Until recently, purchasing art has been a domain reserved for the ultra-wealthy — like in 2022 when a collection of art owned by the late Microsoft co-founder Paul Allen sold for $1.5 billion at Christie’s New York, making it the most valuable collection in auction history (8).
Now, Masterworks — a platform for investing in shares of blue-chip artwork by renowned artists, including Pablo Picasso, Jean-Michel Basquiat and Banksy — can help you get started with this asset class. It’s easy to use and, with 27 successful exits to date, Masterworks has distributed more than $65 million in total proceeds (including principal).
Simply browse their impressive portfolio of paintings and choose how many shares you’d like to buy. Masterworks can handle all the details, making high-end art investments both accessible and effortless.
New offerings have sold out in minutes, but you can skip their waitlist here.
Note that past performance is not indicative of future returns. Investing involves risk. See Reg A disclosures at masterworks.com/cd.
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Nike, Inc. (1); Bloomberg (2); USA Today (3); YouTube (4); X (5); CNBC (6),(7); Christie’s (8)
This article provides information only and should not be construed as advice. It is provided without warranty of any kind.
