Citi analyst Paul Lejuez upgraded Nike to Buy from Neutral with a price target of $135, up from $100. While the company’s sales challenges remain, Citi is more optimistic about Nike’s ability to “protect” earnings in fiscal 2024 and 2025 despite a “choppy” macro environment, the analyst tells investors in a research note. The firm sees a gross margin recovery starting in Q2 of 2024 through 2025 from leaner inventory, lower promotions and direct-to-consumer benefits. Nike also has a new innovation calendar in 2024 ahead of the Paris Olympics and a solid position in China, says Citi. It sees a favorable risk/reward at current share levels.
Confident Investing Starts Here:
- Easily unpack a company's performance with TipRanks' new KPI Data for smart investment decisions
- Receive undervalued, market resilient stocks right to your inbox with TipRanks' Smart Value Newsletter
Published first on TheFly – the ultimate source for real-time, market-moving breaking financial news. Try Now>>
See today’s best-performing stocks on TipRanks >>
Read More on NKE:
- Lululemon (NASDAQ:LULU) Slides after Analyst Downgrade
- Nike assumed with a Buy at Goldman Sachs
- Wells Fargo names Nike as a Top Pick, raises price target to $125
- Lululemon downgraded to Equal Weight from Overweight at Wells Fargo
- Buy/Sell: Wall Street’s top 10 stock calls this week
Looking for a trading platform? Check out TipRanks' Best Online Brokers , and find the ideal broker for your trades.
Report an Issue