UPDATE: Wedbush Reiterates Outperform Rating, Raises PT on Mattress Firm Holding Corp. as Guidance Seems Conservative

In a report published Tuesday, Wedbush analyst Joan Storms reiterated an Outperform rating on

, and raised the price target from $72.00 to $80.00. In the report, Wedbush noted, “We maintain our OUTPERFORM as MFRM continues to execute well and gain share in a tough, yet improving, environment. Comp-store sales growth is accelerating, while acquisitions and new stores continue to perform well. The company's relative market share growth strategy remains on track, with growth plans in new and existing markets, as well as opportunistic acquisitions. We are cautiously optimistic for improved industry trends and macro environment going forward given the strong summer/fall selling season. The company remains focused on improved selling strategies, well-differentiated merchandising assortments, real estate quality, and advertising effectiveness. Some of the positives we see going forward include: 1) the company plans to continue sales initiatives with a more balanced approach to comps and margins, 2) new product introductions should enable the company to reset the bar with respect to customers' promotional expectations, and 3) manufacturers continue to spend on advertising. We are very positive on expected benefits from Sleep Train and other recent acquisitions.” Mattress Firm Holding Corp. closed on Monday at $69.62.