UPDATE: UBS Investment Research Raises PT to $115 on Nike

UBS Investment Research reiterates its Buy rating on Nike

and raises its price target to $115 from $106 on improving gross margin visibility. UBS Investment Research says, "FY13 is only 5 months away, and we are increasingly convinced that Nike's GMs (which have been a source of disappointment) can begin to improve quickly in FY13 based on: 1) product cost inflation reversing by summer, 2) labor costs improving (less YOY wage increase head winds and automation to reduce labor hrs; 3) easing negative YOY FX headwinds; and 4) positive early reads on broad-based spring'12 price increases. We are slightly raising our FY13E GM to 45.0% from 44.7% (vs. Street at 44.8%), with potential for upside to our estimates." NKE closed at $104.23 a share on Tuesday.