Nike Is Down 77% From Its Peak. Should You Buy Before It Reports Earnings on Oct. 1?

NKE has collapsed 77% from its 2021 peak and is down 44% year-to-date in 2026, with the company facing a 12% revenue decline in China as domestic competitors erode its market share. The sportswear giant reports earnings on October 1.

The China headwinds represent the core challenge as local brands capture consumer preference. Management is pursuing a turnaround centered on rebuilding wholesale partnerships and reducing inventory levels. The company maintains $9 billion in cash and continues paying dividends despite the downturn.

The stock trades at depressed levels following the multi-year selloff, creating a potential entry point for investors with long time horizons. However, the turnaround remains in early stages with no clear timeline for stabilization in China or meaningful revenue recovery.