Nike price target raised to $125 from $120 at Wedbush

Wedbush analyst Tom Nikic raised the firm’s price target on Nike to $125 from $120 and keeps an Outperform rating on the shares. The analyst notes Nike reported fiscal Q2 results that were better-than-expected, with constant-FX revenues growing 27%, while gross margin declined 300bps. The company also raised full year revenue guidance to +low-teens, while reiterating full year guidance for gross margin and SG&A. For Q3, Nike expects stronger top-line growth than Q4, and a similar gross margin decline as Q2’s 300bps decline, Nikic adds.