Nike price target raised to $82 from $78 at UBS

UBS analyst Jay Sole raised the firm’s price target on Nike to $82 from $78 and keeps a Neutral rating on the shares. The weak report from Nike was not a surprise, and UBS believes the time to buy will be when the market can start to see a path back to healthy and sustainable top-line and EPS growth, but for now, downside risk remains significant and the upside risk has increased, balancing the risk/reward, the analyst tells investors in a research note. The firm says Nike’s sales growth rate could continue to disappoint because of weakness in its core styles and in China and Nike’s gross margin may come under more pressure than expected because of high inventory levels.