In a report released on May 21, Michael Binetti from Evercore ISI maintained a Buy rating on Amer Sports, Inc. (NYSE:AS) and raised its price target to $43 from $36.
The rating came after the company released strong fiscal Q1 2025 results on May 20, raising its full-year revenue and EPS guidance. Amer Sports, Inc. experienced a notable 23% sales growth in fiscal Q1 2025, or 26% excluding currency effects. Its adjusted operating margin also expanded by around 500 basis points. The positive trends highlight the company’s strategic focus on boosting its market reach and increasing profitability, which is why analysts are bullish on the stock.
A group of professional athletes wearing the company’s performance apparel in a sports event.
The key drivers of positive performance for Amer Sports, Inc. in the quarter were its Technical Apparel and Outdoor Performance segments. Technical Apparel rose 28% to $664 million (or 32% on a constant currency basis), while Outdoor Performance grew 25% to $502 million (or 29% on a constant currency basis). The numbers reflect strong demand for its products, supporting the optimistic sentiment. Amer Sports, Inc. plans to continue this momentum and anticipates revenue growth of 15% to 17% for fiscal year 2025.
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