Why I Still Wouldn't Buy Nike Stock In November

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By Jack Delaney – Nov 3, 2026 at 5:00AM EST

+Fool.comon

Key Points

  • Nike has quietly boosted its dividend payout for 24 consecutive years.

  • Its dividend yields a hefty 4.2%.

  • Nike still has challenges ahead, trying to reverse its slumping stock price amid forecasts that full-year 2027 revenue will decline from the prior year.

What is hiding behind that strong yield

When CEO Elliott Hill, a longtime Nike veteran who joined the company in the late 1980s as a sales representative intern, took over in 2024, he had his work cut out for him. Nike had made a series of missteps over the years, ranging from shunning wholesalers to failing to keep up with changes in consumer tastes.

A finalized turnaround under Hill, however, hasn’t quite happened. For its fiscal 2027 first-quarter earnings, Nike reported revenue of $11.2 billion, down 4% from the prior-year period. Along with that drop in overall revenue, Nike also saw its net income decrease 2% to $712 million.

Adding more woes to the rough quarter, Nike announced a restructuring plan expected to lead to layoffs and forecast that 2027 full-year revenue will fall by a high-single-digit percentage. With the stock price down around 39% so far in 2026, there don’t appear to be any immediate catalysts to reverse those losses. With that gloomy full-year 2027 sales forecast, Nike doesn’t seem ly to beat analyst estimates or be in a position to boost its outlook anytime soon.

That said, as much as Nike’s sales have been an issue, there’s also a brewing issue of expectations that could continue to weigh on the stock. There’s a perception problem with Nike, and the market still hasn’t quite caught on that the iconic retailer may need to be reevaluated.

NKE – Nike

$39.12+$0.45 (+1.16%)

NYSE · As of 4:00 PM ET 11/02/26

Premium Feature

Moneyball Superscore54/100

Key data points

Market capMarket cap calculated using publicly traded s outstanding only. Does not include unlisted, private, or dual-class non-traded s. Implied market cap may vary.$58.11B

Day’s range$38.95 – $39.57

52wk range$31.97 – $69.14

Volume52.4K

Avg volume33.1M

Gross margin43.34%

Dividend yield4.19%

The overlooked transformation

With Nike’s sales struggles and declining stock price making most of the headlines, another story has quietly been forming in the background. Wall Street may be waiting for Nike to return to growth-stock status and post the same type of revenue increases as it did in the fourth quarter of 2021, when sales increased by 96%, but the iconic retailer is actually becoming more of a dividend stock.

It may sound surprising, but Nike hasn’t just paid a dividend for the last 24 years; it’s increased it every year over that period. That doesn’t earn it the title of a Dividend King yet, as the company would have needed to increase that payout for 50 or more consecutive years, but it is decently far along the path to becoming one.

On Nike’s earnings call for the first quarter of 2027, an analyst asked about the “priority” of the dividend “given the investment needs in the business.” CFO Dave Denton emphasized the importance of dividend payouts: 

First and foremost, let me hit that right off the gate. Dividend is a very significant priority for us here at Nike. It is a significant priority from the capital allocation program. And under all scenarios, we have support for maintaining and ultimately growing the dividend over time. So just we can put that to bed with that statement.

Why Nike stock still isn’t a buy in November 2026

Eventually, Nike could be worth investing in as an income-generating asset if it can stabilize its slumping sales, which could help revive investor enthusiasm and give the stock price some fuel to climb higher. It doesn’t have to return to 96% revenue growth in a quarter, but even modest sales growth would be welcomed at this point.

That said, if the markets continue to view Nike as a growth stock, its price may decline or remain stagnant for some time. And if the stock price keeps declining, that just lacks the stability income stocks are supposed to offer and starts to negate those dividend payouts. That’s why, despite the appealing yield, the consistent increases in payouts, and the company’s stated commitment to keep boosting the dividend, I still wouldn’t start or add to a Nike position in November or for the rest of the year.

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About the Author

Jack Delaney

Jack is a seasoned content strategist with over a decade of experience in financial publishing. He’s directed technology, emerging opportunities, and alternative asset publications to deliver actionable insights to investors.

TMFJackDelaney

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