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Why The Container Store Is Racing 12% Higher Today

By Rich Duprey - Feb 1, 2021 at 4:00PM

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Today's increase adds to the bullish momentum that's been pushing the stock higher for months.

What happened

Shares of The Container Store (TCS -1.50%) were jumping 12% higher in afternoon trading Monday after an analyst at Goldman Sachs raised her price target on the organization ideas retailer 20% to $12 per share.

So what

While the target price increase undoubtedly helped the stock's momentum, The Container Store has been steadily rising since last fall and in the past month shares are up over 38%.

Stacks of plastic storage containers

Image source: Getty Images.

Also helping lifting the stock was the rise in the broad market indexes, with the S&P 500 up almost 2%, the Dow Jones Industrial Average up 1%, or 300 points, and the Nasdaq Composite up 2.6%, or some 340 points.

A rising tide lifts all boats, and the combination of existing bullish sentiment and an increased outlook from Wall Street is helping to keep The Container Store on its upward trajectory.

Now what

Considering The Container Store's stock was already trading above $13 a share, and is now over $15, the boost by Goldman analyst Kate McShane amounts to closing the barn door after the horse has escaped. As she also maintained her neutral rating, it's as if she's trying to just keep pace with the retail stock before it runs away from her.

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Stocks Mentioned

The Container Store Group, Inc. Stock Quote
The Container Store Group, Inc.
$7.21 (-1.50%) $0.11
The Goldman Sachs Group, Inc. Stock Quote
The Goldman Sachs Group, Inc.
$312.97 (3.14%) $9.53

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