Nike's stock has reached a 12-year low, a downturn occurring as the company has increasingly aligned its brand with progressive political and social activism over the past decade. This period has seen Nike engage with issues ranging from racial justice to transgender rights, drawing both praise from some quarters and significant backlash from others.
The company's strategy of integrating left-wing politics into its brand identity has been evident since at least 2018, when Nike featured former NFL quarterback Colin Kaepernick in its "Just Do It" campaign. Kaepernick had gained national attention for kneeling during the national anthem to protest police brutality and racial inequality. Nike's decision to make him the face of their campaign, with the slogan "Believe in something. Even if it means sacrificing everything," positioned the brand at the center of a polarized national conversation.
Following the Kaepernick campaign, Nike continued to engage with politically charged issues. In 2020, in the wake of George Floyd's murder, the company launched its "For Once, Don’t Do It" campaign, which addressed racial injustice and supported Black Lives Matter. Nike's logo was also present on NBA jerseys and the court during the league's restart, which featured social justice slogans.
A notable partnership in 2023 involved trans-identifying influencer Dylan Mulvaney, a male, who was featured in a paid Instagram promotion for Nike's women's sports bras and leggings. This collaboration occurred as Mulvaney was already a focal point of a national debate following a controversial promotion with Bud Light. Nike defended its support for the LGBTQ community but faced criticism for utilizing a male influencer for women's athletic wear.
Further controversy arose in April 2025 when OutKick reported that Nike had allegedly funded a study involving transgender youth athletes. The research was reportedly intended to track physiological changes among young individuals undergoing gender-affirming care. Nike's response to these reports was inconsistent, with initial statements indicating the study was never initialized, while a researcher involved claimed the company had withdrawn funding after public backlash. This situation raised questions about the company's stance on women's sports, particularly as Nike concurrently promoted female athletes in its advertising.
Most recently, Nike has become the subject of a federal investigation by the Equal Employment Opportunity Commission (EEOC). In February, the EEOC filed action to enforce a subpoena against the company, investigating allegations of racial discrimination against white employees, job applicants, and participants in training programs through diversity, equity, and inclusion (DEI) practices. Nike has denied wrongdoing and stated its cooperation with the investigation.
While these political and social stances are cited as significant factors, observers also note that Nike faces broader business challenges. These include increasing competition from newer brands, a perceived lack of product excitement, and a consumer reluctance to pay premium prices for sneakers in the current economic climate. Nevertheless, the company's decade-long commitment to progressive activism is increasingly being scrutinized as its stock price reflects significant challenges.