Canada Goose, FBN
(Copyright 2017 The Associated Press. All rights reserved.)

Wall Street thinks it might have found a golden egg in Canada Goose (GOOS) – the Toronto-based pricey parka maker whose shares debuted on the New York Stock Exchange last month.

A number of equity analysts initiated coverage of the stock on Monday and were upbeat about the company’s prospects in the struggling retail environment. Credit Suisse analysts, who see “an exceptional growth story” started an outperform rating alongside a $19.47 price target, as it projects continued success combining strength in the outdoor-apparel industry with luxury buyers, and in its online-first retail model.

It’s no secret that rather than paying a visit to a bricks-and-mortar store, more consumers today flock online for purchases. Canada Goose has recognized this and, in a quest to bump the value of its average order while optimizing the product for specific markets, has implemented new online sort and filter features, added payment options and more targeted customer recommendations. That’s helped the company see higher online volume, fewer returns and a higher average order value.

“Canada Goose’s ability to drive its e-commerce penetration so rapidly in a short amount of time underlines for us the key power in building a brand digitally,” the Credit Suisse analysts said in a note, adding they see the company becoming an industry leader with 23% of sales from online by 2018.

GOOS 2 FBN

It’s not just on the web where the group sees room for continued growth. For evidence of Canada Goose’s place in the market, the Credit Suisse analysts zeroed in on pricing for black, mid-length down parkas in a women’s size medium. Canada Goose – with its $900 Kensington Parka – fell in the middle of the road between low-end…