Financials Market: Jefferies Upgrades Arhaus to Buy, Raises Price Target to $10

Jefferies upgraded Arhaus, a home furnishings retailer, to 'Buy' from 'Hold', raising its price target from $9.50 to $10, implying 28% upside. The upgrade is driven by expectations of a rebound based on the company's strategy to boost brand awareness via expanded catalog circulation and digital marketing. Analyst Jonathan Matuszewski noted a significant uptick in website traffic (more than doubled year-over-year) and predicted potential comp sales lift of 75-200 basis points in 2027 from catalog expansion. Additionally, Arhaus's early-stage B2B strategy could provide a further comp tailwind of 150-200 basis points. Shares rose over 6% following the upgrade.