Pier 1 Imports (PIR) Stock Coverage Initiated at Cantor Fitzgerald

NEW YORK (TheStreet) -- Shares of Pier 1 Imports (PIR) are gaining by 1.60% to $13.35 in mid-morning trading on Thursday, after analysts at Cantor Fitzgerald initiated coverage on the company with a "buy" rating and a $17 price target.

The firm said that e-commerce should soon be an earnings driver, with the heavy investments that have pressured EBIT margin largely complete. They added that Pier 1 Imports' e-commerce business should double over the next three years.

"The sizable upfront investments in technology, personnel, and infrastructure that were needed to transition Pier 1 to an omni-channel platform are largely complete, and we believe the company will start to leverage some of these expenses as the year progresses."

Pier 1 Imports engages in the retail sale of decorative home furnishings, gifts, and related items.

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, attractive 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 deteriorating net income, disappointing return on equity and a generally disappointing performance in the stock itself."

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