Nike's Stock Jumps, To Pace Dow Gainers After Analyst Upgrade

Nike Inc.'s stock climbed 1% in morning trade Monday, enough to make it the biggest percentage gainer among Dow Jones Industrial Average components , after the athletic apparel maker was upgraded at BB&T Capital. Analyst Corinna Freedman raised her rating to buy from hold, and set a new stock price target of $148, which is 13% above current levels. Freedman said Nike's recent sales projection of $50 billion for fiscal 2020 represents an acceleration in sales and earnings growth beyond current projections for next year. "Further we are optimistic about the company's new strategic initiatives including expansion of the Jordan and Converse brands, introduction of innovation in conjunction with the upcoming Rio Olympics, supply chain initiatives as well as its strong pipeline of new product launches," Freedman wrote in a note to clients. The stock has run up 17% over the past three months, while the Dow has lost 5.2%.