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The famous sportswear brand Nike, Inc. was founded in 1964. The company was originally called Blue Ribbon Sports until it changed in 1971. However, it took a few more years before Nike, Inc. went public. Its initial public offering took place on December 2, 1980, when over two million shares were issued. Since then, Nike shares have traded under the symbol “NKE” on the NYSE. (Read more)

Prior to the IPO, Nike was growing rapidly. In 1981, its revenues reached nearly $458 million. For comparison, in 1972, Nike’s annual revenue was $2 million. From 1972 to 1981, NIKE Inc.’s net income grew at a rate of nearly 100% per year. On the day of the IPO, Nike stock price closed at $0.18 on the first day of trading. The Nike stock price first reached the $1 mark on September 21, 1989. Nike began paying a quarterly cash dividend in 1984.

On December 3, 1990, Nike stock price closed at $1.10. Nike stock price has risen 511% in a decade. The stock continued to perform well into the 1990s. By the end of 1994 the stock was at $2.33 and by December 1995 the stock had reached $4.35. In just one year, the stock’s value had increased by 87%. Growth was a constant.

It was February 13, 1997, when Nike’s stock price peaked at $9.47. Over the next 12 months, Nike’s stock price fell on hard times. Nike hit a stock price of $5.11 on February 13, 1998, a 46% drop in just one year. Nevertheless, patience began to pay off for investors in the 2000s, when the success story of Nike’s stock price regained momentum. While Nike stock was still trading at $5.76 on January 2, 2003, it had nearly doubled in value by January 3, 2005, when its closing price was $11.34. Since 2004, the company has started increasing the dividend on an annual basis. Ten years later, on January 5, 2015, Nike’s stock price hit $46.75. The 312% growth rate in a decade is testament to the outstanding performance of NIKE stock in the 21st century.

Nike stock split two-for-one six times.

In November 2015, Nike announced that it was increasing its dividend by 14% and that its board had also approved a $12 billion stock buyback program and a two-for-one stock split. Nike stock price exploded on the news.

In 2017, the stock performed reasonably well. On June 14, 2017, NIKE stock price was at $54.66 before dropping sharply to $51.10 at the end of the trading day on June 16. This decline was followed by a recovery resulting in a closing price of $60.14 on August 3. The stock remained high for a few weeks but fell sharply again to bottom at $51.07 on October 13. However, the current trend is clearly pointing upwards. On November 15, Nike stock price closed at $56.63. This represents an increase of more than 11% from the October 13 low and a year-over-year increase of nearly 13%.

Going forward, the company is also refining the way it sells its products to customers, revamping its e-commerce strategy by partnering with Amazon, and reducing the number of retail partners from 30,000 to just 40, according to KGW.

Nike’s dominance in the market comes down to a simple formula of supply and demand, said Josh Luber, CEO of sneaker resale site StockX at Jefferies. Demand for Nike’s newer products is partly driven by their perceived scarcity, and if Nike produces too many pairs of a new shoe, demand will drop because the product is then widely available and no longer limited in its availablity. This mainly applies to the sneaker market, but Nike loses its cool factor in one area of ​​its business and can seep into others. Nike, the eternally “cool” brand, has a stock price that depends on it.

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