Dick's Sporting price target raised to $42 from $38 at Stifel
Stifel analyst Jim Duffy raised his price target on Dick's Sporting Goods to $42 from $38 after the company reported third quarter results, though he also said he remains "comfortable" with his Hold rating on the stock. Duffy said that improved retail productivity led comp upside benefiting from continued investments in inventory. The analyst added that comp strength is a "good headline" but multi-year erosion of gross profit yield on inventory investment indicates that inventory growth is surpassing a rebalance to healthy, or normalized levels. Duffy also said inventory investments will support comps and possibly upside to guidance in the first half of 2020, but GMROI trends suggest balance sheet support of the income statement "may not be sustainable."