New York, Feb 23, 2026, 18:42 EST — After-hours
- Nike shares slid roughly 3.5% Monday, with Wall Street retreating as tariff jitters resurfaced.
- Jefferies points to Nike as a stock that could come out ahead if the fresh tariff policy winds up cutting rates compared to prior duties.
- Investors are scrutinizing the timetable for tariffs, any carve-outs, and the timing of Nike’s next earnings report.
Nike shares slipped in after-hours trading Monday, part of a broader pullback as U.S. President Donald Trump’s unexpected global tariff plan reignited worries around trade policy.
The stock slipped roughly 3.5% to $63.09, setting up what could be its steepest single-day decline in over a week.
Tariffs hit straight at costs for brands that rely on imports, so it’s no surprise investors have dumped discretionary stocks as policy headlines shift. Monday’s selloff drew money into safe havens—traders sticking to a routine play when rules look uncertain.
Trump is rolling out fresh tariffs just days after the Supreme Court tossed out his previous emergency duties. The new move bumps the rate up from 10% to 15%, this time using Section 122 of the Trade Act of 1974—a tool for imposing short-term, broad tariffs. But plenty of details are still murky: no clarity yet on timing, possible carveouts, or if the rate hits all countries equally.
“We are giving up roughly half of Friday’s gain … reminding us that uncertainty remains high,” Mark Hackett, chief market strategist at Nationwide in Philadelphia, said. Reuters
Nike found itself caught up in the selloff, despite a few analysts saying the newest tariff move might not hit as hard as past rounds. In a note picked up by Reuters, Jefferies pointed to Best Buy, Ralph Lauren, and Nike as names that could actually come out ahead if tariffs come down from previous levels.
Even so, the tariff story isn’t going away for Nike, given its global sourcing footprint. Not long ago, the company flagged that altered tariffs might tack on roughly $1 billion in extra costs. It’s responded by moving some footwear production out of China to limit the U.S. market’s exposure, according to previous statements.
Policy turbulence hits a crowded sector—competition is fierce, quick price cuts follow if demand slips. When costs rise and companies can’t push them onto customers, margins get squeezed before revenue feels it.
One risk: tariffs could spread wider or drag on longer than traders are pricing in, leaving brands stuck deciding whether to eat the extra costs, push up prices, or try both. If consumer confidence takes a steeper dive, the pressure only builds for apparel and footwear stocks.
Looking to the week ahead, investors want specifics from the White House on when the new tariffs kick in and exactly how broad they’ll be. Retailers’ commentary around sourcing and pricing could also move things. As for Nike, the company hasn’t set its next earnings date yet, though most on Wall Street have circled March 19.
