Two Sterne Agee analysts increased their price target for GPS stock from $38 per GPS share to $44 per GPS share. The analysts raised their rating on GPS stock from “underperform” to “Buy,” MarketWatch notes.
GPS stock climbed about 3% on the news.
The analysts noted that GPS had done well during the holiday shopping season, in contrast to other apparel retailers and could improve the performance of GPS stock through share buybacks, among other alternatives.
In September, GPS announced that it would resume TV advertising after a four-year hiatus.
Early last year, the company was rumored to be a potential target for a Japanese retailer looking to build its U.S. market position.
GPS stock has climbed more than 13% since March 2013.