Mattress Firm Bounces Up 3%; Citigroup Boosts Target
Mattress Firm (NASDAQ: MFRM) bounced three percent Wednesday after a Citigroup analyst raised her target on the company 7.5 percent.
Kate McShane boosted her target price from $53.00 to $57.00, citing an improving industry outlook driven by high-end mattress innovations.
Same-store sales for the industry generally were up in the low- to mid-single digits on the recent holiday weekend, McShane said, citing discussion with industry experts.
However, McShane left her earnings forecast for Mattress Firm unchanged and well below the average Street view.
McShane sees 2014 profits of $1.66 per share, compared with the Wall Street consensus of $1.94. The average target price for the shares is $54.
Mattress Firm recently traded up 3.32 percent to $47.89.
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