NKE stock is expected hit a new record high at the open
Nike Inc (NYSE:NKE) is set for a big session, after the athletic apparel retailer unveiled a blowout earnings report. A round of bullish brokerage upbeat analyst notes is only fueling the bullish flames, with NKE stock up 10.9% in electronic trading -- on track to open at a record high.
For the fiscal fourth quarter, Nike reported adjusted profit of 69 cents on $9.79 billion in revenue. North American sales accelerated at a faster-than-expected clip, and the company's direct-to-consumer business was stronger than anticipated, as well. The retailer also raised its fiscal 2019 revenue forecast and unveiled a $15 billion buyback program.
Analysts have been quick to chime in after Nike's earnings report, too. No fewer than 12 brokerages raised their price targets on the stock, including Credit Suisse and Stifel -- which boosted their NKE price targets to $90, a more than 25% premium to last night's close at $71.70.
There's plenty of room for additional analysts to raise their outlooks on the Dow stock. Of the 24 brokerages covering Nike, 14 maintain a "hold" or "sell" suggestion, while the average 12-month price target checks in at $79.78 -- roughly in-line with where the equity is expected to be trading at the open.
This positive price action is just more of the same for Nike stock. The shares were already up 14.6% year-to-date heading into today's trading, thanks to support from their 50- and 80-day moving averages. Plus, the security is easily headed toward its third straight quarterly win. There could be more upside in store, considering NKE has been one of the best stocks to own after a Dow losing streak.