The firm said it raised its numbers on the home décor and furnishings company as it believes Pier 1's business has stabilized.
Shares of Pier 1 are soaring by 11.15% to $15.45 in pre-market trading this morning, following yesterday's fiscal 2015 third quarter earnings results.
The company said its net income was $17.9 million, or 20 cents per share, compared to $25.8 million or 26 cents per share for the fiscal 2014 third quarter. Pier 1's earnings per share results were in line with analysts' expectations.
Total sales for the quarter grew by 4.1% to $484.5 million versus the $465.5 million reported for the year ago quarter.
However, analysts had expected the company to report earnings of $488.26 million for the latest quarter.
Separately, TheStreet Ratings team rates PIER 1 IMPORTS INC/DE as a Hold with a ratings score of C. TheStreet Ratings Team has this to say about their recommendation:
"We rate PIER 1 IMPORTS INC/DE (PIR) 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 revenue growth, reasonable valuation levels and largely solid financial position with reasonable debt levels by most measures. 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 weak operating cash flow."