NEW YORK (TheStreet) -- Shares of Vera Bradley Inc (VRA) are higher by 2.02% to $23.20 in early market trading after the cotton quilted handbags company was upgraded to "outperform" from "neutral" by analysts at Robert W. Baird this morning.
The firm cited the pace of implementation of strategies by new management, new products, and the favorable risk/reward ratio for its change.
Baird raised its price target to $28 from $26.
The company reported its fiscal second quarter earnings yesterday with net income of $7.6 million, or 19 cents per diluted share, on net revenue of $120.1 million for the period.
Separately, TheStreet Ratings team rates VERA BRADLEY INC as a Hold with a ratings score of C. TheStreet Ratings Team has this to say about their recommendation:
"We rate VERA BRADLEY INC (VRA) a HOLD. The primary factors that have impacted our rating are mixed, some indicating strength, some showing weaknesses, with little evidence to justify the expectation of either a positive or negative performance for this stock relative to most other stocks. The company's strengths can be seen in multiple areas, such as its largely solid financial position with reasonable debt levels by most measures, reasonable valuation levels and good cash flow from operations. However, as a counter to these strengths, we also find weaknesses including feeble growth in the company's earnings per share, deteriorating net income and disappointing return on equity."