Best Buy stock rose Monday after a financial analyst at Barclays increased his price target for the fifth time this year.
Analyst Alan Rifkin increased his price target on Best Buy’s shares to $50 from $38. He also raised his 2014 earnings estimate to $2.75 from $2.65 per share on expected benefits from cost cutting. Rifkin’s forecast is above the $2.70 per share average that analysts polled by FactSet were expecting.
Best Buy has been shuttering underperforming stores and revamping others. Under CEO Hubert Joly, the company has instituted a price-matching policy, opened more in-store areas for manufacturers such as Apple and Samsung and invested more to train employees.
Rifkin said in a research note that he believes further improvement is possible for Best Buy and that the company will surpass its goal of cutting $725 million in costs.