Nike's brutal stretch on Wall Street hit a new milestone this week: the sneaker and apparel giant was formally removed from the S&P 100 index on Monday, September 21, ending an 18-year run in one of the market's most prestigious blue-chip benchmarks, according to FinanceFeeds. Nike keeps its seat in the broader S&P 500.

The exit capped a grim run for the stock. Shares closed at $35.51 on the day the change took effect and touched an intraday low of $35.38 — a fresh 52-week low — according to market data cited by ad-hoc-news. Nike's market capitalization has fallen from roughly $264 billion at its 2021 peak to about $57 billion now, a decline of nearly 78%, per a breakdown from Yahoo Finance.

What's driving the slide

The collapse reflects both a real business slowdown and a valuation reset: underlying earnings per share have fallen roughly 55.6%, while the stock's price-to-earnings multiple has compressed from about 50 times earnings to around 24 times, according to Vested Finance's analysis of the exit. Analysts point to soft demand for sportswear, strained relationships with wholesale retail partners, and what several have called lackluster new-product development as the core problems weighing on the brand.

Nike's removal from the S&P 100 doesn't carry the same direct index-fund selling pressure as an S&P 500 exit would, since it isn't leaving the larger benchmark, but it's a symbolic blow for a company that has long been treated as one of the bluest of America's blue chips — a status now handed instead to a fast-growing technology name added in its place.

All eyes now turn to October 1, when Nike is scheduled to report its fiscal first-quarter results. Wall Street will be watching closely for any sign that the turnaround plan championed by Nike's leadership is gaining traction, or whether the slide toward 12-year lows has further to run.