Cowen Raises Price Target on Nike (NKE) to $130 Ahead of Investor Day

Cowen reiterated an Outperform rating on Nike (NYSE: NKE), and raised the price target to $130.00 (from $125.00), ahead of the company's investor day. Analyst John Kernan is looking forward to hearing of new apparel and footwear products, along with details on digital platforms, advanced manufacturing, supply chain innovation and new partnerships, which CEO Mark Parker highlighted in his FY15 "Letter To Shareholders."

Kernan commented, "NKE's 10/14 investor day should support our view that mid-teens EPS CAGR potential continues, driven by product innovation, DTC, digital and new partnerships, along with productivity benefits from advanced supply chain enhancements. We are modeling $7+ in EPS potential (mid-teen CAGR) by FY20 and sector-best ROIC. Increasing our PT to $130 from $125, reflecting 28x FY17E EPS, 19x EV/EBITDA."

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

Shares of Nike closed at $115.05 yesterday.

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