Nike has raised its dividend for 24 consecutive years, but this streak is at risk due to a shrinking business and free cash flow that no longer fully covers dividend payments. The company’s dividend yield is high at 4.48%, partly because its stock price has dropped over 41% this year. Nike’s recent dividend raises have slowed significantly, with the latest increase adding only one cent per quarter. Free cash flow fell short of dividend payouts in fiscal 2026 and worsened in early fiscal 2027, forcing Nike to cut share buybacks to protect dividends. Management remains committed to maintaining and growing dividends, supported by a strong cash reserve, but meaningful dividend growth is unlikely until cost-saving measures from a five-year turnaround plan take effect. Investors should watch the upcoming November investor day for more details on Nike’s future financial targets.
As of Oct 16, 2026 00:31 WIB, Nike's stock on Pluang is priced at USD 37.45, showing a strong 1-day gain of 6.09%. Despite the recent dividend concerns, the dividend yield remains elevated at 4.65%. Notably, Pluang order activity heavily favors selling, with 96% of orders being sell transactions, indicating cautious investor sentiment.
