Market Overview

UPDATE: Goldman Sachs Resumes Nike with Buy Rating on Expected Growth Spurt

Related NKE
Under Armour Is Looking To Cross Over Nike
Athleisure Wear Fad A Rapidly Growing, But Crowded Space
When Rate Hikes Come, They Will Ripple Across U.S. Economy (Fox Business)

In a report published Thursday, Goldman Sachs analyst Lindsay Drucker Mann resumed coverage on Nike (NYSE: NKE) with a Buy rating and $70.00 price target.

In the report, Mann noted, “We resume coverage of NKE with a Buy rating and 20% upside to our $70, six-month price target. After an extended period of sub-par EPS, NKE appears to be on the verge of a multi-year growth spurt, with visibility into critical P&L drivers: high-single-digit top-line growth balanced by developed and emerging markets, margin expansion towards multi-year highs, and significant opportunity to flex the balance sheet on buybacks and dividends. We expect 18-20% EPS growth, and this coupled with improved understanding of NKE's quality business model should support valuation in the low-20X P/E range, in line with high-quality branded Consumer peers.”

Nike closed on Wednesday at $58.45.

Posted-In: Goldman SachsAnalyst Color Initiation Analyst Ratings

 

Related Articles (NKE)

Around the Web, We're Loving...

Partner Network

Get Benzinga's Newsletters