After zooming higher over the past few session on positive analyst buzz and takeover speculation, Fitbit (NYSE: FIT) is modestly lower (-1.8%) Thursday. However, according to one analyst, while a takeover is unlikely, it could provide a floor valuation for the stock.

Longbow Research's Joe Wittine said, "[w]hile we see zero indication FIT is a company shopping itself, as FIT delivers on its 2016 product cycle we certainly can envision buyout speculation similar to yesterday's reports continuing to build, which could help to establish a valuation floor for the shares, returning FIT to at least a 1.0x PEG, or a mid/high teens P/E multiple at a minimum."

Wittine said it makes "perfect sense" that large fitness players that have failed, or are on the verge of failing, with their own activity tracker would be drawn to FIT.

He highlights Under Armour (NYSE: UA) in particular as having big tech aspirations evidenced by its HTC fitness "box," and the company's prior purchases of MyFitnessPal ($475M), MapMyRun and Ride.

"With this writing on the wall, it is equally easy to envision a major UA competitor swooping/swooshing-in to prevent an eventual partnership," Wittine said.

(SI Note: While Wittine doesn't name Nike (NYSE: NKE) officially, his comment on "swooshing" eludes to the footwear giant.)

While such a move is unlikely for now, the analyst said in negotiation, "we think the necessary starting point would be extrapolating FIT's recent growth off the most recent funding "rounds," which are the November secondary at $29/share, and before that the June IPO at $20/share; implying a valuation double versus recent levels."

The firm maintained a Buy rating and price target of $20 on FIT.

For an analyst ratings summary and ratings history on Fitbit click here. For more ratings news on Fitbit click here.

Shares of Fitbit closed at $17.01 yesterday.