Analysts at the brokerage firm Telsey Advisory on Monday bumped their rating on shares of Kohl's to outperform from market perform, with a $50 price target.

The firm's updated price target represents about 15% upside from Friday's close and is rooted in the belief that Kohl's will benefit from improved sales and solid management execution.

Despite the upgrade, shares of the struggling retailer were lower almost 1% during Monday morning trading.

Nonetheless, Telsey is bullish on Kohl's second-quarter same-store sales driven by e-commerce and brick and mortar.

Kohl's management has done a solid job of strengthening its online presence, managing current inventory levels, and reducing the footprint of their retail locations, opting for smaller, more efficient stores, Telsey contended. 

Telsey's bullish call on Kohl's comes less than a week after analysts at the National Retail Federation projected that holiday retail sales in November and December will climb to between 3.6% and 4% for a total of between $678.75 billion to $682 billion, up from $655.8 billion last year.

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