UPDATE: Goldman Sachs Upgrades Dick's Sporting Goods to Buy (DKS)

Goldman Sachs is out with its report today on Dick's Sporting Goods DKS, upgrading DKS to Buy. In a note to clients, Goldman Sachs writes, "Six factors drive our recommendation: (1) our preference for organic growth as macro tailwinds stabilize after several quarters of acceleration; (2) Strength evident across the product assortment, notably in apparel and golf; (3) the firms' positioning as a prime partner to vendors, giving DKS leverage with suppliers as price increases challenge margins for the channel; (4) ongoing optionality for capital allocation given a building net cash balance; (5) a notable e-commerce opportunity; (6) estimates that stand above the Street, as we consider all of these drivers. Our $49 target (previously $44) suggests 17% upside." At the time of posting, shares of DKS were trading pre-market at $42.74, up 2.15% from Tuesday's close.