UPDATE: Credit Suisse Upgrades Pier 1 Imports to Outperform, Raises PT on Strong Upside Potential

In a report published Friday, Credit Suisse analyst Seth Sigman upgraded the rating on

from Neutral to Outperform, and raised the price target from $15.00 to $21.00. In the report, Credit Suisse noted, “While PIR has already bounced from its recent low, we see another 30% potential upside if the company can continue to execute on the plan it has laid out, which includes stabilizing retail margins and starting to leverage their significant online investments. In our view, PIR stock could offer a combination of EPS upside potential and multiple expansion as visibility improves, a composition that has become rare in this group. We raise our TP to $21, equal to 16x our 2016 estimate of $1.28, which we base on a peer multiple and long-term EPS analysis.” Pier 1 Imports closed on Thursday at $16.69.