Nothing to Worry About Fitbit (FIT) Fundamentally, Leerink Partners Says; PT Up to $81

Leerink Partners analyst Steven Wardell reiterated an Outperform rating and bumped his price target on Fitbit (NYSE: FIT) to $81.00 (from $79.00) following strong results after the close. Shares sold off on a sell the news reaction and the stock offering bu they don’t see anything to worry about fundamentally.

Wardell commented, "Fitness tracker industry-leader FIT beat on top and bottom lines and gross margins for the 3Q, taking investor concerns about gross margins off the table. The company is pressing its formidable advantage and seems to be taking share in a fast-growing market. FIT also announced a follow-on offering. There appears to be some “sell the news” sentiment in the reaction of the stock to the beat and the offering, but we don’t see anything to worry us fundamentally. We reiterate our OP rating and raise our Price Target to $81 from $79 based on higher NTM revenues."

For an analyst ratings summary and ratings history on Fitbit click here. For more ratings news on Fitbit click here.

Shares of Fitbit closed at $40.80 yesterday.

You May Also Be Interested In

• HDFC Asset Management Co Ltd (HDFCAMC:IN) PT Raised to INR3,250 at JPMorgan
• JPMorgan Starts Nippon Life India Asset Management Ltd (NAM:IN) at Overweight
• JPMorgan Starts BSE Limited (BSE:IN) at Neutral