Nike Inc. (NYSE: NKE) has appointed Alexandre Arnault, the Deputy CEO of LVMH’s Moët Hennessy division, to its board of directors. Arnault, the son of LVMH CEO Bernard Arnault, joins a board that already includes Nike co-founder Phil Knight and Apple Inc. (NASDAQ: AAPL) chairman Tim Cook.
Pershing Square Inc. (NYSE: PS) founder Bill Ackman praised the appointment on the social media platform X, calling it a “great development” for the company. Ackman stated that he is a fan of Arnault and believes he can help Nike, noting that the sportswear retailer “needs help.” Arnault previously spent four years at Tiffany & Co. and led LVMH’s acquisition and turnaround of RIMOWA as its CEO.
The appointment comes at a challenging time for Nike. The company is currently executing a “Win Now” turnaround plan introduced by CEO Elliott Hill in September 2024. Nike’s Nike Sportswear and Jordan Streetwear businesses posted double-digit sales declines in the fourth quarter of 2026, a trend management expects to persist through fiscal 2027.
On the financial front, the company faces significant headwinds. JPMorgan analysts recently flagged that ending online sales distribution with partners Pou Sheng and Topsports next year will result in an annualized revenue hit of more than $1 billion. Additionally, Nike will be removed from the S&P 100 index on September 21, marking the first time in 18 years the company has been dropped from the index.
Share performance has been poor, with Nike stock falling 43.84% year-to-date and 50.82% over the past year. The stock lost 77.3% of its value over the past five years. On Wednesday, shares fell 1.21% to close at $35.78, though they climbed 1.40% in early pre-market trading on Thursday.
