Fitbit Inc. was initiated at buy at a handful of Wall Street brokerages on Monday as a post-IPO quiet period was lifted and analysts touted the company’s large market share and flourishing wearables market. The fitness tracker was started at buy at Deutsche Bank and SunTrust Robinson Humphrey, which both set 12-month price targets of $50 on the stock, and at Stifel, which initiated with a price target of $57. PiperJaffray initiated coverage on Fitbit at overweight, which is the equivalent to buy, and set a price target of $52. “We believe our existing estimates are conservative given the traction of the recent product launches and the growing global distribution potential,” PiperJaffray analyst Erinn Murphy said in a note to clients. Morgan Stanley and Barclays were slightly more conservative, starting Fitbit at equal weight with $42 and $45 price targets, respectively. Barclays said the stock is “just a bit expensive.” Shares of Fitbit climbed 1.5% to $42.70 in premarket trade. They have risen 10.1% since their first day of trade on June 18.
Market Pulse Stories are Rapid-fire, short news bursts on stocks and markets as they move. Visit MarketWatch.com for more information on this news.
From:: Stock Market News