Robert W. Baird Thinks 'There Are More Good Times Ahead Of' FitBit

Fitbit Inc FIT stock has doubled since its IPO last month and according to William Power, analyst at Robert W. Baird, it's going to continue to move higher. Power recently initiated a coverage on the stock with an Outperform rating and a price target of $52.

Power was on CNBC Tuesday to discuss his outlook for the watch and the competition it faces from Apple Inc. AAPL's Apple watch.

More Good Times Ahead

"The stock...has certainly had a good move since the IPO, priced to 20 open at 30 it has moved since," Power began. "But Look, I mean, this is a company that's in a unique position. They are a leader in the wearable space. Really the only pure play, publicly traded opportunity that has had tremendous growth. Look at the last two quarters, each of those quarters they have grown the top-line close to 200 percent and we think there are more good times ahead of them."

Apple Watch Will Be A Bigger Competitor Overtime

Power was asked about the competition that FitBit devices face from the Apple Watch. He replied, "I think, longer term Apple Watch will continue to become a bigger and bigger competitor. That said, right now this is an overall secular trend that I think presents opportunities for both companies and you got to look at Apple Watch, it really is trying to appeal to a broader segment of the market whereas FitBit is really much more fitness oriented."

"And when you look at their average ASPs, it's close to $80 and well rising that' well below where Apple [...] Watch comes out at probably $400 plus. So, I guess it's a combination of [segmenting] the market and both benefitting from a [...] secular, fitness trends," Power concluded.