Nike Inc.'s stock took a nosedive, dropping by a whopping 20% after they warned about their future sales prospects.
Turns out their quarterly sales figures weren't great, with a 2% decrease in total revenues and an 8% dip in direct-to-consumer sales, according to reports.
Because of this, they're projecting a mid-single-digit percentage decrease in revenue for the upcoming fiscal year.
This news really shook up investors, causing Nike's stock to plummet and even affecting other companies in the retail sector like JD Sports and Foot Locker.
Seems like Nike's efforts to boost sales through direct-to-consumer and digital channels aren't panning out as expected. Tough times ahead for them, for sure.