After meeting with Fitbit's VP, IR, Stifel analyst Jim Duffy says that the company's acquisition of software assets from Pebble and subsequent reorganization have left it better positioned to develop new products more quickly. The analyst adds that the the company is now better positioned to benefit from solutions created by third party developers. Duffy adds that checks show that the company is making progress in lowering its inventories, and he remains "encouraged" by the company's positioning in the wearables category. However, he trimmed his price target on the name to $6 from $7 and keeps a Hold rating on the stock.