NEW YORK (TheStreet) -- Restoration Hardware (RH - Get Report) stock is advancing 8.25% to $27.90 on heavy trading volume on Wednesday afternoon after BB&T analysts suggested the company should sell itself to fellow home furnishings retailer Williams-Sonoma (WSM).

Shares of Williams-Sonoma are rising 3.16% to $53.89 this afternoon.

"I don't think Gary Friedman, the CEO of Restoration, is ready to surrender... but you are going to see that stock pop because that's a rumor that seems to make so much sense that people run with it," TheStreet's Jim Cramer, portfolio manager of the charitable trust Action Alerts PLUS, said on CNBC's "Squawk on the Street" this morning.

Earlier this month, Corte Madera, CA-based Restoration Hardware delivered an unexpected loss for the first quarter, driving shares down about 20%. The stock is down nearly 65% so far this year.

So far today, 4.16 million shares of Restoration Hardware have been traded, compared with its average daily volume of 2.88 million shares.

Separately, Restoration Hardware has a "hold" rating and a letter grade of C at TheStreet Ratings because of the company's revenue growth, reasonable valuation levels and largely solid financial position with reasonable debt levels by most measures, which offsets generally disappointing stock performance, feeble earnings per share growth and deteriorating net income.

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

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 article's author.