Goldman upgrades Nike to buy: 'On the cusp of a sharp acceleration'

Workers install a Nike logo lamp outside the Wukesong Arena in Beijing, August 28, 2019.
Tingshu Wang | Reuters

Goldman Sachs upgraded Nike on Thursday and said it saw the company as a "unique asset" with China as a "key driver of growth."

The firm upgraded the company to buy from neutral and added the stock to its conviction buy list. Goldman also raised its price target to $112 from $95.

Shares of Nike are up 1.94% to $94.54 in early trading.

"We believe Nike is on the cusp of a sharp acceleration in EPS growth," Goldman Sachs analyst Alexandra Walvis said. The firm also said it sees earnings growing 19% annually over the next 3 years and that China should help accelerate that growth at "almost 3x the rate of other regions."

More In Pro News and Analysis

CNBC ProCredit Suisse says Apple is a top pick and has double-digit upside from here
CNBC ProCNBC in 5 minutes: All the buy, sell and hold stock calls from Tuesday
CNBC ProLone Pine Capital reveals new positions in Alphabet and PayPal, dumps Snap