Nike has been in a rough place for a few years. Under former CEO John Donahoe, their retro sneakers lost their excitement, they lost the innovation race to upstars like On and Hoka — who also stole many of their customers — and they failed to make any inroads into new segments. “Athleisure” had become a vast market, but it was never a sales focus in Nike stores, and the product quality was pretty bad. Nike’s product was more expensive than competitors like Alo, Lululemon, Athleta, and Vuori, but the material felt worse, and the cuts were generally pretty bad. You shouldn’t feel uncomfortable in clothes meant for ultimate comfort. Meanwhile, the stock had fallen about 25% in a year.