Nike short interest rises as market share slips, adding pressure to CEO Elliott Hill’s turnaround

NEW YORK, May 5 — Short interest in Nike Inc. has increased, signaling rising skepticism on Wall Street as the sportswear company works to address operational issues under CEO Elliott Hill amid intensifying competition.

Data from S&P Global Market Intelligence show 4.67% of Nike’s outstanding shares were on loan as of May 1, 2026 — a common proxy for short selling. That compares with 0.41% when Hill took over in October 2024.

Nike’s share of the global sports footwear market fell 3 percentage points in 2025 to 22.9%, marking a third straight year of declines, according to Euromonitor International. By comparison, Adidas’ market share rose to 12.2% in 2025 from 11.7% in 2024.

A Nike spokesperson said Hill’s early months as CEO were focused on diagnosing problems and that the company only began executing its new “core-sports strategy” late last year. The spokesperson said progress should be assessed from that point rather than over an 18-month window.

Nike’s stock closed at $43.09 on Monday, its lowest level since 2014.

Inventory and discounting remain in focus

Nike has faced pressure from stagnant inventory levels, falling operating margins, and investor concerns that it has been slow to deliver must-have new products.

The company has made changes under Hill, including leadership shisourcess and increased brand marketing. However, inventory as a share of revenue was about 16.1%, broadly unchanged from when he took office.

Nike has highlighted new product launches, including the Vomero 18, which the company said generated $100 million in sales over three months. The report said such isolated successes have not fully reassured investors.

Analysts also said that while fewer items appear to be discounted on Nike’s website, average markdowns are deeper, adding pressure on margins.