Nike (NYSE:NKE): Morgan Stanley has assumed coverage on Nike with an Overweight rating, up from Equal Weight, as the analyst believes that earnings per share growth acceleration of 17 percent annual 3-year return is sustainable, and that the power of Nike’s balance sheet sustains innovation and superior ROIC. The price target is $85.
Pandora (NYSE:P): A survey issued by Canaccord indicates that the October ad load was consistent with September and August, implying that the third quarter grew by 10 percent from the second quarter. The firm is currently modeling $35 in third-quarter mobile ad RPM but sees potential upside of $3 following the survey. Pandora shares are Buy rated with a $30 price target.
Michael Kors (NYSE:KORS): Maxim is expecting Michael Kors’s comparable sales to stay strong, as the company continues to open stores and has a strong balance sheet. The firm initiated Michael Kors at a Buy rating and a $99 price target.
Abercrombie & Fitch (NYSE:ANF): Bank of America Merrill Lynch says that Abercrombie’s upcoming analyst day should relate to its long-term strategic review. Potential announcements include expansion in China and the Gilly Hicks brand. The firm expects Abercrombie & Fitch shares to react favorably, and it reiterates its Buy rating.