Rapid Recap: Nike’s stock has struggled as it faces stiff competition – here’s what experts say

is, you know, they don't seem to have any anything going in China. U.S. had been stronger, and now it's not as strong. When they're really done and they really have earned, they go down to 11 times earnings like Dix, which bought Footlocker. It's just a very crowding group. Unknown: You always have to remember that you know sometimes there's a reason stocks go down and they're not just going to snap back up. I think with Nike, they had such a run for so long. There's been a consolidation. There's a lot more competition in this space now. You know where they are, and so I think it's just harder to be profitable. I think Lululemon, which is one that we used to own, had a similar story. There's just a lot more competition out there for that dollar. Consumers are being more discerning as prices go up, and so it's more difficult to get maintain adult market share there. And consumer tastes are always incredibly hard to predict. So there's that aspect of it too. What's hot now? What's hot next week and next month and and whatever. So you got to be careful. The marketplace is just not buying what they're selling right now. We've had we've had retailer after retailer come out and say, look, the the consumer is moving away from this, so they really have to get the the ship corrected here, get the innovation out, and get consumers excited again. the The problem is that they had a CEO step in in 2019, 2020, and said, "Look, we're we're out in too many wholesale accounts. We're in a lot of department stores that we we grew up in. We just don't. This brand doesn't really belong there anymore. Even Foot Locker, they pulled a lot of product out of there, and they did it very abruptly. And they said, 'We're going to focus on direct to consumer. The economics will be better if we sell these through our own stores and our own website, and they lost a lot of the they lost a lot of market share. It let competitors like On and Hoka put really compelling product on the shelf in a multi-brand channel, which is very important because when the consumer goes in to that store, they don't know what they want today. They gravitate towards the coolest thing. They pick up an On, they pick up a Nike, they make a decision, and when you pull out of that channel and you just go to D to C direct to consumer and sell things in your stores, you don't get those insights. What does the consumer? What's the decision he made when he put our shoe down and chose a competitor? I'm a big believer in the strength of the brand still today. I think that this is one of the most powerful global brands in the world, you know. I think it has lost a little bit of luster, but I believe when you look at the reach, you look at the roster of athletes, the distribution globally. I think they really need to bring new product to the market. Given time.