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Sen. Ted Cruz Criticizes Nike's Stock Decline and Corporate Strategy as Brand Hits 12-Year Low

Sen. Ted Cruz, R-Texas, has publicly criticized Nike for its recent stock price collapse, which has reached a 12-year low. The brand's market value has plummeted nearly 80% since its 2021 peak, leading to a conservative critique of the company's marketing and product decisions. Cruz noted that Nike's decision to cancel a Betsy Ross-themed shoe—which was criticized for being a symbol of both white nationalism and slavery—showed a lack of patriotism in the company's marketing plan. While the stock price has fallen, analysts are divided on whether the company is simply cheap or facing a structural shift in market share. Nike faces increasing competition from brands like Hoka and On, and has struggled with declining sales in China for eight consecutive quarters. CEO Elliott Hill is currently working to repair wholesale relationships and drive product innovation to stabilize the brand's competitive moat. Despite the challenges, Nike remains a global leader in sports footwear, though investors are now seeking concrete evidence of a turnaround.

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