Pro Analysis

Stifel says bet on Nike to ride US consumer industry's ‘resurgence’

A customer shops for a Nike shoe.
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A customer shops for a Nike shoe.

Stifel predicts Nike shares will rise due to strong earnings reports from sporting goods retailers.

"Ahead of key channel partner reports, Hibbett Sports, Foot Locker and Dick's Sporting Goods, we think about the set-up in Nike stock and how to position with options," equity derivatives strategist Frank Poerio said in a note to clients entitled "NKE: Positive Checks into Channel Partner Reports" Thursday. "We think there is still some momentum left in the overall discretionary trade, but at this point we think [Nike] calls are the right/risk reward."