Goldman Sachs maintained its Neutral rating on JCPenney (NYSE: JCP), but raised its 12-month price target from $10 up to $11 following a company sales update issued after markets closed on Tuesday. Among other items, JCPenney noted that November comparable-store sales improved 10.1 percent.

Analyst Stephen Grambling commented, The release indicated e-commerce sales remained strong, running well ahead of last year and consistent with last month’s trend. Management also noted traffic and conversion was “exciting” in stores and online.

Grambling continued that, while November comps may have been easy, JCPenney's two-year stack trend improved sequentially from October to November, suggesting continued sales momentum into the important holiday selling season. Given Cyber Monday sales and some e-commerce shipments from Black Friday weekend were not included in the results, we expect momentum will continue through the quarter, Grambling concluded.

Goldman's FY13/FY14/FY15 EPS estimates move from ($5.77)/($2.03)/($0.98) to ($5.23)/($1.72)/($0.72).

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JCPenney closed at $10.11 on Tuesday, with a 52 week range of $6.24 to $23.10.