On Tuesday, the analysts at Credit Suisse came out swinging, initiating close to a dozen new calls in the retail sector.
Specifically, the team initiated Nike Inc (NKE) - Get Report with an outperform rating and $78 price target and Lululemon Athletica Inc. (LULU) - Get Report with an outperform rating and $96 price target. The targets imply about 16% and 20% upside, respectively.
Notably left off the outperform list was Under Armour Inc (UA) - Get Report UAA, but the analysts didn't forget it. They hit Under Armour with neutral rating and $18 price target, which implied about 5% upside to Monday's closing price.
Worth pointing out is the fact that Under Armour stock closed lower by 3.61% to $16.56 in response.
It wasn't just the apparel-makers on watch though, as Credit Suisse also roped in the retailers. The analysts initiated Foot Locker, Inc. FL, which recently tumbled on weak earnings, with an outperform rating and $50 price target. The target implies about 16% upside.
On the downside though, they hit Finish Line Inc (FINL) with an underperform rating and $9 price target. That implies about 14.5% downside from Monday's close. Shares closed lower by about 1.8% to $10.36 in response, although they are well off the session lows near $9.74. At the lows, Finish Line stock was down almost 8%.
So in a nutshell, go with Foot Locker over Finish Line, and Nike and Lululemon over Under Armour.
At least according to Credit Suisse.
This article is commentary by an independent contributor. At the time of publication, the author had no positions in the stocks mentioned.