Late Tuesday, the company said it completed the $132.5 million sale of its Roger Cleveland Golf Co. subsidiary to SRI Sports Ltd., a Japanese sporting-goods retailer. The deal was first announced in October.

The move is part of a company strategy to reduce its exposure to hardgoods manufacturing.

"This sale represents the first in a series of positive moves, we believe, that will expand earnings, reduce debt and eliminate an overhang," Lazard Capital Markets analyst Todd Slater wrote in a client note on Wednesday.

Slater said he expects the company's core Quiksilver, Roxy and DC brands to be strong in the fourth quarter, led by brand extensions into shoes, accessories and equipment.

However, he cautioned that results of the French ski maker Rossignol, which Quiksilver acquired in 2005, could hurt earnings.

"Although Quiksilver continues to struggle with its non-core winter sports equipment businesses, we believe it will effectively monetize these assets while retaining the global rights to Rossignol apparel and footwear (core competencies), and expanding margins and reducing inventory and manufacturing risk," Slater wrote.

He reiterated his "Buy" rating and $16 price target.

Shares rose 81 cents, or 7.9 percent, to $11.02 Wednesday. The stock has traded between $9.99 and $16.08 during the past year.