Nike announced Thursday night that CEO John Donahoe will step down next month, with longtime company veteran Elliott Hill returning to take over. Nike stock jumped Friday.
Donahoe, CEO since January 2020, will retire on Oct. 13, but will remain an advisor through January 2025. Hill will take over on Oct. 14.
"I am excited to welcome Elliott back to Nike," Chairman Mike Parker said in a statement. "Given our needs for the future, the past performance of the business, and after conducting a thoughtful succession process, the Board concluded it was clear Elliott's global expertise, leadership style, and deep understanding of our industry and partners, paired with his passion for sport, our brands, products, consumers, athletes, and employees, make him the right person to lead Nike's next stage of growth.
Hill worked at Nike from 1998 until retiring in 2020 as a senior executive.
Nike Stock
Nike stock rose 6.8% to 86.52 on Friday, capping a 9.5% weekly gain. NKE stock has been in a downtrend since late 2021 amid China woes and increased competition from the likes of On Holding and Hoka running shoes from Deckers.
A Nike shift to direct-to-consumer sales cut costs initially, but also opened up space for On Holding, Hoka and other rivals in retail stores. The Dow Jones apparel and retail giant has been shifting back toward wholesale channels, but the competition has gained a foothold.
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