Craig-Hallum ups CarParts.com to Buy as company explores strategic alternatives

As previously reported, Craig-Hallum upgraded CarParts.com (PRTS) to Buy from Hold with a $3 price target following the announcement that the company is exploring strategic alternatives after receiving inbound strategic inquiries. The firm says mixed fundamental trends have persisted and it’s logical for the company to consider strategic alternatives to unlock the significant value CarParts.com can offer either a private equity or strategic buyer. With a strong balance sheet, significant asset value and low valuation, Craig-Hallum thinks the risk/reward is extremely compelling.