Piper Jaffray Maintaining Neutral On hhgregg

Piper Jaffray is maintaining its Neutral rating and $18 price target on shares of hhgregg, Inc. HGG. In a note to clients, Piper Jaffray writes, "We are maintaining our Neutral rating and $18 PT based on 14x our F12E EPS of $1.31. HGG's Q4 EPS of $0.39 easily topped PJC and consensus of ~$0.29 due to strong gross margin expansion and expense leverage. While we are encouraged by the results we continue to believe that +6.3% comp in Q1 F10, driven by the cash for appliances program, will be difficult to overcome. HGG continues to be one of fastest growing names in our universe with 35-40 openings (over 20% square footage growth) in three major markets scheduled for F12." Shares of HGG gained $2.28 yesterday to close at $15.24, a gain of 17.6%.