Nike Shares Drop 0.71% on $1.1B Volume Surge Legal Dispute with StockX Resolved as Stock Ranks 63rd in Market Activity

On August 29, 2025, Nike (NKE) closed with a 0.71% decline, trading at a volume of $1.10 billion, a 88.78% increase from the previous day’s volume, ranking it 63rd in market activity. The stock’s performance coincided with the resolution of a high-profile legal dispute involving the company.

Nike announced a confidential settlement with online reseller StockX regarding a trademark lawsuit over allegations of counterfeit product sales and unauthorized NFTs. The case, filed in 2022, centered on Nike’s claims that StockX’s NFTs and physical goods infringed its intellectual property. Both parties agreed to dismiss the case with prejudice, ending legal proceedings permanently. The resolution followed a March court ruling that held StockX liable for selling 37 counterfeit pairs of Nike shoes. While the settlement removes a potential reputational risk, the outcome does not directly address broader market concerns about Nike’s brand integrity in the digital goods space.

Recent analyst activity and institutional transactions highlight mixed sentiment. Multiple firms adjusted price targets for Nike shares, with some lowering estimates to $100–$125. Institutional investors reported selling stakes, while others increased holdings, reflecting divergent views on the stock’s valuation. Analysts have emphasized cautious optimism about Nike’s long-term prospects, citing potential recovery in the Chinese market and resilience in core performance, but noted near-term risks from inventory challenges and shifting consumer preferences.

The settlement with StockX is expected to have a neutral impact on Nike’s financials, as the terms remain undisclosed. Legal resolution reduces the likelihood of prolonged litigation but does not address underlying issues related to counterfeit enforcement in digital markets. Investors will likely focus on Nike’s upcoming earnings report and broader strategic shifts, including its digital commerce initiatives and sustainability efforts, to gauge future momentum.