Oppenheimer analyst Andrew Uerkwitz is weighing in on Fitbit Inc (NYSE:FIT) after finishing up a corporate wellness program. Even though FIT stock has dropped to a historical low, the analyst nonetheless stays the course on the fitness tracking giant, reiterating an Outperform rating on FIT with a price target of $12, which represents a 50% increase from where the shares last closed.

First, the analyst highlights, “We believe industry numbers support that fundamentals aren’t the issue in the stock decline (down 76% over the past year vs. S&P up 5%) but rather continued over promising, under delivering as the primary culprit.”

Secondly, while Uerkwitz is aware of challenges plaguing FIT, he maintains, “Our long-term digital health/connected fitness thesis is intact, but most likely early. While we are reluctant to continue to endorse a poorly executed company, we note fundamentals are intact and valuation looks favorable (50% of market cap in cash and still growing).”

Overall, “Our corporate wellness program and a review of what has happened to date gives us confidence that fundamentals remain intact. There remains interest and tools to keep consumers engaged. Growth is still in the wearables space and FIT remains the clear leader. However, execution needs to improve for the stock to stop making new lows,” Uerkwitz surmises.

According to TipRanks, which measures analysts’ and bloggers’ success rate based on how their calls perform, four-star analyst Andrew Uerkwitz is ranked #616 out of 4,262 analysts. Uerkwitz has a 50% success rate and gains 5.5% in his yearly returns. However, when suggesting FIT, Uerkwitz loses 38.6% in average profits on the stock.

TipRanks analytics exhibit FIT as a Hold. Based on 19 analysts polled in the last 3 months by TipRanks, 2 rate a Buy on FIT, 15 maintain a Hold, while 2 issue a Sell. The 12-month average price target stands at $9.93, marking a 24% upside from where the stock is currently trading.