Nike's shares jumped 12% to their all-time high today after the world's largest shoe maker saw a major sales rebound in its North America business and forecast strong growth for 2019.
At least 14 Wall Street analysts raised their price targets following Nike's better-than-expected quarterly results.
The company's focus on its digital platform and launch of runners, such as Air Max 270 and Epic React, not only helped it fight off competition from German rivals Adidas and Puma, but also deliver on its promise of a significant reversal in its home market.
The Oregon-based company is also gaining on the resurgence of '90s fashion trends that is helping boost sales of its classic sneakers.
Industry research shows that sneaker sales rose 10% globally last year.
Nike shares rose to $79.98 in early trading, adding $13 billion to its market value of about $115 billion. The stock was the top gainer on the Dow Jones index.
It said that sales at its North America business rose 3.3% in the quarter after having fallen for most of the year.
Analysts said strong results prove that several years of distribution disruption, bloated inventories, lackluster innovation, and market share losses are in the past.
The company also said it expects 2019 revenue to be in the high single-digit range, compared with its earlier forecast of mid-to-high single-digit growth.
It also announced a $15 billion buyback programme.