In a report released today, John Kernan from TD Cowen maintained a Buy rating on Amer Sports, Inc. (AS – Research Report), with a price target of $33.00.
John Kernan has given his Buy rating due to a combination of factors, primarily driven by Amer Sports, Inc.’s promising outlook and strong brand performance. The company has shown significant progress with its Arc’teryx and Salomon brands, which are outpacing competitors in the Softlines Retail sector. Innovation in footwear is a rising trend that contributes to this growth.
Kernan points out that Arc’teryx’s ongoing innovation cycle in outerwear, particularly hard shells, is expected to boost sales significantly in the latter half of FY25 and into FY26. The expansion of their direct-to-consumer (DTC) strategy, along with brand awareness in the U.S., is projected to continue driving revenue. Additionally, Salomon’s strength in the sportstyle trend and recent store openings are contributing positively to the company’s growth trajectory. These factors, along with management’s conservative guidance on margin expansion, support Kernan’s optimistic outlook for Amer Sports.
In another report released on February 18, Citi also maintained a Buy rating on the stock with a $36.00 price target.