Foot Locker upgraded to Outperform from Perform at Oppenheimer

Oppenheimer analyst Anna Andreeva upgraded Foot Locker (FL) to Outperform with a $70 price target. The shoe retailer closed yesterday down $1.38 to $49.90.

With Nike's (NKE) "onset" of innovation and Adidas' (ADDYY) ongoing momentum, Foot Locker is poised to stabilize as 2018 unfolds, Andreeva tells investors in a research note. The analyst notes the two brands account for 85% of Foot Locker's sales. Further, she views Foot Locker's valuation as inexpensive at current share levels.

Channel checks also indicate that the retailer is making progress clearing through inventory overhang, Andreeva adds.