Citigroup analysts raised revenue estimates for the fitness tracker firm which went public last year.
Shares were up more than 10 per cent on the New York stock exchange.
The analyst put a price target of $30, reiterating its buy rating, and said its stock was "relatively inexpensive". Citi was also positive on Fitbit's new products, the Blaze smartwatch and Alta activity band.
"... our view that Fitbit's current year 2016 revenue guidance may prove conservative and expect upside to first quarter guide and positive second quarter outlook to propel shares off recent lows,” the note said.
Fitbit has already shipped more than one million Blaze watches and the same number of Alta since the start of March.
Analysts also noted the potential for "significant global expansion".
It's a much needed boost for the firm which lost as much as 70 per cent of its value over the last year. After reporting expectation-busting revenue in February, which sent shares sliding, the firm has since been on the up with stock up 24 per cent in March.