New York, Jan 7, 2026, 7:43 PM EST — After-hours
- Nike shares were last down about 3.2% after hours after ending the session lower.
- The company sold RTFKT, its digital products subsidiary tied to NFTs, with terms undisclosed.
- RBC cut its price target to $78, pointing to China, Converse and tariff-related margin pressure.
Nike (NKE) shares fell on Wednesday after the company sold RTFKT, its digital products subsidiary, retreating further from blockchain-based collectibles known as NFTs, or non-fungible tokens. A Nike spokesperson said RTFKT “transitioned to a new owner on December 17,” and Nike declined to disclose terms or the buyer. 1
The move lands as investors look for signs Nike’s turnaround is narrowing back to its core footwear and apparel engine, after a stretch of experiments that did not move the needle for the stock. RTFKT was a symbol of the prior digital push, and the exit reads like cleanup.
It also comes with Wall Street still arguing about the timeline. RBC Capital analyst Piral Dadhania cut his price target on Nike to $78 from $85 while keeping an “Outperform” rating, writing that the “path to profitable growth remains intact,” but “timelines have lengthened” as China, Converse and U.S. tariffs squeeze margins. 2
Nike’s drop made it one of the biggest drags on the Dow in Wednesday’s session, as the broader market slipped. In Europe, Adidas shares were hit a day earlier after Bank of America double-downgraded the stock, flagging a cooling “casualization” trend in sneakers that helped lift the sector for years. 3
At the latest trade, Nike was around $63, near its 50-day moving average of about $63.8. The stock has traded between $52.28 and $82.44 over the past 52 weeks. 4
The backdrop is still Nike’s December quarter report, when revenue rose 1% to $12.4 billion but gross margin fell 300 basis points to 40.6% and Nike Direct sales declined 8%, a reminder that clearing inventory and resetting the product mix can be expensive. 5
Traders will be watching whether wholesale momentum holds up in North America, and whether China stabilizes enough to stop forcing more promotions. Any hint that pricing is firming would matter more than small portfolio moves like RTFKT.
But the downside case has not gone away: a softer consumer, deeper discounting and fresh cost pressure could keep margins pinned, even if Nike keeps pruning distractions. An exit from NFTs does not fix weak demand.
The next hard checkpoint is Nike’s fiscal third-quarter results, expected around March 19, according to Zacks’ earnings calendar. 6
