Nike CEO: Company Must Regain Shelf Space Amid Intense Competition
Written by Emily J. Thompson, Senior Investment Analyst
Updated: Oct 21 2025
0mins
Source: CNBC
Nike's Comeback Strategy: Nike is attempting a comeback under CEO Elliott Hill, focusing on innovation and rebuilding consumer trust after significant market value loss and competition from emerging brands.
Reorganization Around Sports: Hill has reorganized the company to focus on individual sports rather than product categories, aiming to enhance competitiveness against rivals like On Running and Hoka.
Challenges from Past Decisions: Analysts highlight that Nike's previous shift to prioritize direct-to-consumer sales over wholesalers led to a loss of market share, which the company is now working to regain.
Current Obstacles: Nike faces challenges such as clearing excess inventory and managing $1.5 billion in tariff-related costs while striving to innovate and improve sales.
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Analyst Views on ONON
Wall Street analysts forecast ONON stock price to rise
21 Analyst Rating
18 Buy
2 Hold
1 Sell
Strong Buy
Current: 36.580
Low
30.00
Averages
60.79
High
85.00
Current: 36.580
Low
30.00
Averages
60.79
High
85.00
About ONON
On Holding AG is a Switzerland-based company active in athletic sports accesories industry. The Company provides footwear and sports apparel and is engaged in developing and distributing performance sports products, through independent retailers and global distributors. The Company sells its products trough the internet and its own stores.
About the author
Emily J. Thompson
Emily J. Thompson, a Chartered Financial Analyst (CFA) with 12 years in investment research, graduated with honors from the Wharton School. Specializing in industrial and technology stocks, she provides in-depth analysis for Intellectia’s earnings and market brief reports.
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- SharkNinja's Diversified Growth: SharkNinja posted a 15% sales increase despite high inflation, with a slight decline in food preparation products, yet strong performance in cleaning and beauty products highlights the success of its diversified portfolio, with expected annual earnings growth exceeding 18%.
- Significant Market Opportunities: Despite economic pressures on consumers, companies like Tapestry, On Holding, and SharkNinja demonstrate robust sales growth, indicating substantial market opportunities amidst challenges, making these stocks appealing for investors at reasonable forward P/E ratios.
See More
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- Rating Downgrade: RBC downgraded Nike's stock rating from outperform to sector perform and cut its price target to $50, indicating a 12% upside from Tuesday's close, reflecting cautious market sentiment regarding Nike's future performance.
- Stock Price Decline: Nike's stock has plummeted over 70% since late 2021, and under CEO Elliott Hill, it has also dropped 45%, highlighting significant challenges in the company's recovery efforts.
- Market Share Risks: Analysts noted that while Nike maintains a leading position in lifestyle footwear, it faces price competition from On Running, Hoka, and New Balance in the running shoe market, which could lead to potential market share losses.
- Earnings Outlook Downgrade: Analyst Dadhania lowered Nike's earnings per share outlook, citing slower execution on product and inventory clearance, and anticipates that the second half of 2026 is unlikely to deliver positive revenue growth.
See More
