UPDATE: Oppenheimer Holdings Reiterates Outperform Rating, Raises PT on Lowe's Companies

In a report published Wednesday, Oppenheimer reiterated its Outperform rating on Lowe's Companies LOW, and raised its price target from $32.00 to $42.00. Oppenheimer noted, “We have for some time looked favorably on the potential for a US housing market recovery and hence better demand trends within the Home Improvement sector. Data suggest that our thesis is playing out well. We are increasingly of the view that Lowe's is likely to make for the better stock in 2013. An aggressive re-merchandising effort and a string of internal missteps have weighed on LOW results over the past several quarters. We are optimistic that with improving demand trends at its back, LOW is now approaching a positive fundamental turn. LOW shares have significantly underperformed those of Home Depot since late 2010. Our price target for LOW goes to $42 from $32 previously.” Lowe's Companies closed on Tuesday at $31.97.