Skechers price target raised to $85 from $72 at Evercore ISI

Evercore ISI raised the firm’s price target on Skechers (SKX) to $85 from $72 and keeps an Outperform rating on the shares. The firm thinks Q4 will be “a mixed bag,” as it is positive on Americas and Europe performance in the quarter, but more cautious on China’s performance. However, the firm thinks the Chinese athletic industry will be in a much cleaner inventory position by the second half with less discounting, which will provide opportunity for more value-for-money brands like Skechers to return to growth in China, the analyst added in a preview note.