Loop Capital analyst Laura Champine upgraded Lumber Liquidators (LL) to Buy and raised her price target for the shares to $30 from $22. The flooring retailer closed yesterday down 28c to $24.57.
Following a visit to the company’s Toano, Virginia headquarters yesterday, the analyst has improved confidence in management’s margin outlook. He estimates represent a return to profitability for the company after three years of losses. The shares at current levels are “too cheap” for a turnaround story that is returning to profitability in its second year of comp growth, Champine tells investors in a research note.
