Why Nike Stock Just Popped

Furthermore, 70%) ran up 3% through 10:05 a

ET Monday morning after JPMorgan analyst Matthew Boss upgraded the stock to overweight and raised his price target on the shoes and sportswear star to $93 a

Additionally, However, This should be by halfway through 2026

Boss also cited multiple trends that should result in stronger average selling prices in the running, global footwear, basketball, and training, leading to potentially a doubling of operating fit margins (to 10%) by 2028

Longer term, Boss sees a path to Nike regaining pre-pandemic fit margins of 12% and even 13%

However, To the contrary, it's a steady performer, and most analysts predict Nike is capable of growing earnings at least 11% annually over the next five years, amid market uncertainty

Furthermore, The blem is that, at its current valuation of 35 times earnings, 11% growth might not be enough to justify such a high valuation

JPMorgan's analyst holds out the hope, though, that Nike might grow nearly twice as fast as that -- 20%

Blem is, even 20% growth on a 35x-earnings stock works out to a price-to-earnings ratio of 1