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NEW YORK (TheStreet) -- Best Buy's (BBY) price target was upped to $41 from $32 at Deutsche Bank on Wednesday morning. The firm also maintained its "hold" rating.

The new price target comes after the Richfield, MN-based electronics retailer posted second quarter earnings and revenue that topped analysts' estimates yesterday.

Deutsche Bank said that Best Buy's 0.8% increase in comparable-store sales was better than estimates, "despite most indicators pointing to a weak consumer electronics industry." Deutsche Bank added that this "of course" points to share gains.

Wearables are still a small part of Best Buy's business, but were the biggest comp driver, Deutsche Bank said. Higher-end 4K televisions also helped grow sales.

In the current quarter, Deutsche Bank expects that the iPhone 7 launch will "reinvigorate" sales in the phone category.

RBC Capital Markets also increased its price target to $42 from $36 and maintained a "sector perform" rating on shares.

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The firm said 70% of Best Buy's profits are generated in the second half of the year. RBC expects revenue growth to "remain challenging," according to a note cited by the Fly.

Shares of Best Buy were down in pre-market trading on Wednesday.

Separately, TheStreet Ratings objectively rated this stock according to its "risk-adjusted" total return prospect over a 12-month investment horizon. Not based on the news in any given day, the rating may differ from Jim Cramer's view or that of this articles's author.

TheStreet Ratings rated this stock as a "buy" with a ratings score of B.

The company's strengths can be seen in multiple areas, such as its increase in net income, attractive valuation levels, good cash flow from operations, largely solid financial position with reasonable debt levels by most measures and notable return on equity. We feel its strengths outweigh the fact that the company shows low profit margins.

You can view the full analysis from the report here: BBY

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