Bank of America just raised its EUR/USD forecast
Investing.com - UBS raised its price target on Amer Sports Inc. (NYSE:AS) to $52.00 from $50.00 while maintaining a Buy rating on the stock. The new target represents significant upside from the current price of $35.74, though according to InvestingPro analysis, the stock appears to be trading above its Fair Value.
The firm cited strong growth opportunities for Amer’s Arc’teryx and Salomon brands as key factors behind the decision.
UBS noted that Amer’s second-quarter "beat and raise" report reinforced its conviction that the market underappreciates the strength of Arc’teryx’s business model and the company’s positioning in China.
The firm explained that while Amer’s stock price fell following the earnings report, this decline was primarily attributed to positioning and wholesale channel noise rather than fundamental business issues.
UBS forecasts a 31% five-year earnings per share compound annual growth rate for Amer Sports and anticipates strong growth over the next few quarters will drive the stock toward its new $52 price target.
In other recent news, Amer Sports reported impressive second-quarter results, surpassing earnings expectations and adjusting its full-year guidance upward. The company achieved earnings per share of $0.06, outperforming analyst estimates of a $0.02 loss. Revenue increased by 23% to $1.24 billion, showcasing robust growth across its various segments. Notably, the Technical Apparel segment’s revenue rose by 23% to $509 million, and the Outdoor Performance segment saw a 35% increase to $414 million, bolstered by Salomon footwear’s strong performance. Additionally, the Ball (NYSE:BALL) & Racquet Sports segment experienced an 11% growth, reaching $314 million. These developments reflect Amer Sports’ strong performance in the market, and the company’s outlook has been positively received by investors. Despite these positive results, the stock experienced a decline, although specific reasons for this movement were not detailed in the reports. These recent developments highlight Amer Sports’ continued growth and market presence.
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