UBS upgraded Dick’s Sporting (DKS) to Buy from Neutral with a price target of $260, up from $225. Dick’s will generate more sustainable earnings growth moving forward than it has in the past, and this has not been fully reflected in the stock, the analyst tells investors in a research note. UBS models 8% annual earnings growth over the next five years, which compares to an average of 5% growth for the five years prior to the pandemic. Dick’s has been structurally improved in recent years, which will pay dividends in the form of higher margins, free cash flow generation and returns for the foreseeable future, contends UBS.
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Read More on DKS:
- Dick’s Sporting Goods Reports Strong Q3 Results and Raises 2024 Outlook
- Dick’s Sporting price target raised to $240 from $232 at Stifel
- Baird says ‘comfortable’ buying Dick’s Sporting on any pullback after Q3 results
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- DKS Earnings: Dick’s Sporting Goods Raises Full-Year Guidance
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
