Hoka-owner Deckers Outdoor's DECK.N shares rise about 2% to $108 premarket.
Jefferies raises rating on the running shoe maker to "buy" from "hold," citing improved confidence in recovery of brand Hoka and durable growth in brand UGG.
Ups PT on the stock to $130 from $110, representing a 22.7% premium to its Friday close.
"We think Hoka has meaningful runway for product innovation that still leads with performance and functional aspects but leans into comfort" - Jefferies.
Sees operating margin growth over time, especially as oil prices normalize.
Says DECK's new medium-term guidance is a "significant development" because it signals management now has better visibility on sustaining growth and maintaining margins.
14 of 27 brokerages rate the stock "buy" or "higher," 11 "hold" and two "sell;" their median PT is $130, as per estimates compiled by LSEG.
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