Conn's (NASDAQ:CONN) Valuation Low on Soft Sales

Sales at Conn's Inc. (NASDAQ:CONN) continue to be soft, prompting Jefferies to say they see their valuation remaining low until more clarity emerges.

Jefferies said, "Valuation likely to stay low with soft sales and rising charge-offs at a time when Conn's tries to find the right balance of credit extension to drive sales and profitability. Shares have corrected quickly to a lower earnings outlook, but visibility remains low."

EPS estimates were however raised by Jefferies on Conn's, increasing full year 2011 from $0.14 to $0.22 and for full year 2012 from $0.34 to $0.43.

FBR reiterates their "Hold" rating on Conn's, which closed Monday at $4.48. They raised their price target on them from $3.55 to $4.53.