Sports goods manufacturer stock notched a record high on Friday, and it can go higher still, UBS analyst Jay Sole told CNBC on Friday.
Shares of the Beaverton, Oregon-based company hit $101.40 intraday Friday, boosted by quarterly earnings and sales released after the bell Thursday that beat analysts’ expectations. It closed Friday down 1.1% at $99.96 but is up around 34% year to date.
Sole raised his price target Friday on Nike to $103, up from $97. He maintains a hold rating on the stock, citing the widespread bullish outlook on Wall Street.
According to CNBC, that attitude has helped propel the stock from the low $50s in the fall of 2017 to its current levels around $100. While sales and revenue have grown in the mid-single digits in that period, Sole said the stock nearly doubling reflects a belief that Nike still has brighter days ahead.
In its quarterly report, Nike’s revenue grew by about 10% to $10.33 billion from $9.37 billion a year ago, beating expectations for $10.09 billion.
CNBC reported that, its North American revenues did fall short of expectations, however, climbing 5.3% during the period to reach $3.98 billion. Analysts had anticipated sales of $4 billion.Nike saw strength in its Jordan brand, which reached quarterly sales of $1 billion for the first time ever.
Nike’s strong stock performance comes against the backdrop of a shakeup within the company. In October, it abruptly announced that CEO Mark Parker will step down in January.
It also has dealt with allegations in November of abuse toward women at Nike’s Oregon Project under track coach Alberto Salazar. The team was previously considered to be the best in the world.