Fitbit Inc (NYSE: FIT) released its IPO earlier this month for $20 per share as the fitness wearable device made its debut on Wall Street.  The IPO impressed Wall Street and Fitbit itself, as the IPO price was raised twice before it was released and sold more shares than the company anticipated.

Shares of the company last closed at $44.87, and analysts are now confident that the stock will climb higher.  The newfound success of Fitbit shares have calmed investors’ fears that the products would be overshadowed by the Apple Watch. Many were concerned that the release of the much-anticipated Apple Watch would take market share away from Fitbit, but this has not been the case as Fitbit is estimated to have 85% of the market share.

Fitbit boasts several fitness wearables that act as a pedometer, clock, alarm, calorie counter all in one. Prices range from $60 to $250, compared to the Apple Watch that starts at $350 and climb to $600, omitting the special editions retailing for over $10,000.

Furthermore, analysts have reason to believe that fitness wearables may become the next “megatrend,” becoming a necessity comparable to a smartphone. Although the Apple Watch may become a threat to Fitbit in the future, Fitbit trumps the market in brand recognition.

According to Smarter Analyst, analyst Erinn Murphy of Piper Jaffray initiated coverage on Fitbit with an Overweight rating and a $52 price target on July 13. Murphy praised the “authentic consumer brand” that has become synonymous with the “wearable technology space.” Although Murphy notes increasing competition in the field, she is confident in Fitbit’s “strength of the brand” and “the accessibility of the brand across multiple ages, incomes and geographies.” The analyst explains, “With superior growth metrics to-date and the significant potential for global growth and new product introduction, we believe FIT has the characteristics to trade similar to high-growth, consumer-facing brands such as UA, GPRO and LNKD. We believe our estimates are conservative and would expects earnings to grow into the multiple.”

When measured over one year and no benchmark, Erinn Murphy has a 60% success rate recommending stocks with a +3.8% average return per rating.

Separately on July 13, analyst Robert Peck of SunTrust also initiated coverage on Fitbit with a Buy rating with a $50 price target. Peck outlined several reasons why he likes the stock. First, he noted, “there is a huge TAM or total market that’s just starting to get penetrated about a $30 billion or so market.” In addition, Peck notes the company is a leader in the market, capturing 80% of the market share in the U.S. and more than 35% market share around the globe. A survey conducted by SunTrust highlighted Fitbit’s brand recognition in comparison to the Apple Watch. In addition, Peck lauds the company’s “strong revenue growth rate” of 150% and “solid growth margins.”

When measured over one year and no benchmark, Robert Peck has a 59% success rate recommending stocks with a +11.7% average return per rating.

According to TipRanks, the analyst consensus on Fitbit is Moderate Buy.