Shares of struggling retailer Pacific Sunwear of California Inc. closed up 6% Wednesday after an analyst upgraded the stock based on the company’s quick shift from winter to spring clothes.
Piper Jaffray analyst Jeffrey P. Klinefelter upped his rating on Pacific Sunwear to “outperform” from “market perform.”
The company has managed inventory, boosted displays and highlighted top selling items, according to Klinefelter.
Pacific Sunwear, which runs about 1,200 mall stores selling surfwear and hip-hop style clothes, has been working to reverse a sales slump that played out last year.
Interim Chief Executive Sally Frame Kasaks took over in October after Seth Johnson resigned amid poor results.
Kasaks has said she’s moving “aggressively” with inventory and merchandising changes.
Pacific Sunwear’s stock, with a recent market value of $1.4 billion, is up about 50% since September on hopes of a turnaround.
The company’s shares lost about half their value between spring and September.
