Dick's Sporting Goods (DKS) - Get Report closed up 3.59% today at $41.52 a share after Goldman Sachs upgraded the stock to its conviction buy list.

While it's often best not to jump into a stock right after a Wall Street upgrade, now is a good time to buy Dick's.

The upgrade comes three months after chief rival Sports Authority filed for bankruptcy. The Sports Authority will close all 463 of its stores. Dick's has bid on leases for 17 of the locations. 

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Goldman analysts believe that the lack of competition should help Dick's. Their estimated price target is $53 per share in 12 months. That represents a 29% increase in value before today's pop. "[Dick's] is best positioned to benefit from store closures of its largest competitor, The Sports Authority," a team of analysts led by Stephen Tanal wrote in a note.

Even after today's pop, the stock is trading at just 14.77 past earnings. Dick's also pays a dividend of 1.46% and has minimal debt. Overall, the balance sheet looks solid, and while past growth hasn't been amazing, it should get much better soon.

Most analysts believe Dick's will begin seeing the benefit of Sports Authority closings during the fourth quarter. Dick's currently has a Sports Authority store within 10 miles at 37% of its locations. 

Analysts have varied about what the increased sales figures could be, ranging from $300 million to above $500 million. Regardless of the size of the increase, Dick's should be at the top of a buy list.

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This article is commentary by an independent contributor. At the time of publication, the author held stock in Under Armour.