J.C. Penney shares were up more than 3 percent Monday, defying a down day for the markets, after one analyst said the department store has "multiple levers to pull" in working toward its goal of $1.2 billion in EBITDA by 2017.
While upgrading the retailer's shares to "buy" from "hold," Deutsche Bank analyst Paul Trussell listed a handful of opportunities for the company to improve its margins, including the use of new technologies to limit unintended markdowns.
He likewise pointed to several enhancements to its store presentation as potential drivers of sales.
"The company is already proficient in the art of retail under under its seasoned merchandising team with what we think are the right brands and assortment," Trussell wrote. "New CEO Marvin Ellison is now driving the next step of applying the science of retail to bring J.C. Penney up the curve."