Whole Foods Market's (WFMI) strategy of offering lower-priced items in the recession is paying off, at least according to Jeffries analyst Scott Mushkin, who upgraded the company to a buy rating from a hold rating Friday.

In his research note, Mushkin wrote the supermarket chain is accelerating its sales and cutting costs, according to The Associated Press.

Mushkin also raised his target price for Whole Foods's shares to $45 from $36, forecasting the share price could increase as much as 17% within the next year, the AP reported.

The stock advanced 3.3% to close at $38.30 per share Friday.


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