Hibbett stock's risk/reward is 'too compelling to ignore' - Baird
Dec. 06, 2021 2:45 PM ETHibbett, Inc. (HIBB)By: SA News Team2 Comments
- Hibbett, Inc. (HIBB +7.7%) shares jump after Baird upgrades the stock to Outperform, saying the market is undervaluing the company after its latest beat and raise.
- "With structurally improved competitive dynamics (i.e., key brands reducing wholesale distribution points), ongoing business model enhancements, good visibility into inventory flow, and a sizable buyback authorization, we believe risk/reward looks too compelling to ignore," write analysts Justin Kleber and Peter Benedict.
- In Hibbett's Q3 earnings call, management expressed confidence in its inventory position and said that it expects positive comps in 2022 despite top-line headwinds including stimulus check lapping.
- Baird keeps its price target on HIBB at $100 versus the sell-side average of $107.