UPDATE: Jefferies Raising Price Target on hhgregg

Jefferies & Co. is out with a research report on hhgregg, Inc. HGG and it is raising its price target to $14 from $12, but is keeping its Hold rating. In a note to clients, Jefferies & Co. writes, "A lot of upside in sales for Q2 was driven by promotion and appeared to be without serious response from competitors – that may be on the way as holidays draw closer. With that said, execution appears better this quarter with the launch of an improved website, better sales force segmentation in store, expanded product assortment in computing and better close rates. This should position the company better for holiday versus last year." Shares of HGG are up 76 cents in pre-market trading to $14.77, a gain of 5.4%.