Nike shares fell as much as 4.5 per cent on Monday, the most in more than two months, erasing part of the gain that followed strong earnings results.
The world's biggest sports apparel and footwear company tumbled as low as $69.14 in New York, the biggest intraday loss since October 10.
LeBron James, one of the company's biggest stars, apologized on Sunday for posting a lyric about "Jewish money" on his Instagram account.
The dip followed a surge last Friday after Nike posted second-quarter earnings that beat estimates, including strong sales growth in the company's two most important markets: North America and China. It was Nike's first earnings report since it featured controversial quarterback-turned-activist Colin Kaepernick in its newest "Just Do It" ad campaign.
"Apologies, for sure, if I offended anyone," James told ESPN on Sunday. "That's not why I chose to share that lyric. I always (post lyrics). That's what I do. I ride in my car, I listen to great music, and that was the byproduct of it. So I actually thought it was a compliment, and obviously it wasn't through the lens of a lot of people. My apologies. It definitely was not the intent, obviously, to hurt anybody."
There was no indication that the National Basketball Association has any plans to fine James for the remarks, according to ESPN. Nike didn't respond to a request for comment.
Nike also made leadership changes last week. On Friday the company said Coca-Cola Co. executive G. Scott Uzzell will become the next chief executive officer of its Converse brand. Uzzell will replace Davide Grasso, who is retiring at the end of the year