Revolve Group Inc. /zigman2/quotes/212608879/composite RVLV -1.14% shares jumped 18% in Thursday trading after the millennial- and Gen Z-focused apparel retailer reported record-setting earnings of 20 cents per share, adjusted earnings of 18 cents per share and talked up the opportunities for the e-commerce business despite COVID-19. "[S]ocial distancing restrictions result in fewer opportunities to purchase outfits for special occasions outside the home, such as dresses, which is REVOLVE's largest product category," said Co-Chief Executive Michael Mente on the earnings call, according to FactSet. The company now sees opportunity in the beauty category and other areas, and has been helped by a swift inventory adjustment after the company began to be pressured by the coronavirus pandemic. Still, there is growth potential in traditional categories as the consumer spending environment improves. "We expect growth to accelerate further as social distancing eases and should be a key driver for its core dresses category," wrote Raymond James analysts in a note. Raymond James upgraded Revolve stock to strong buy from outperform, with a price target of $32, up from $18. "Revolve remains well positioned as the fashion market increasingly shifts online and this has accelerated with the pandemic," Raymond James said. BMO Capital Markets raised its price target to $18 from $11, maintaining its market perform stock rating. And Cowen analysts moved their price target to $28 from $19 and maintained their outperform stock rating. "New at-home product, innovative marketing engagement, reduced marketing spend, and lower than expected returns more than offset lower performance in dresses," analysts led by Oliver Chen wrote. Revolve stock has gained 25.3% for the year to date while the S&P 500 index /zigman2/quotes/210599714/realtime SPX -1.12% is up 4.7% for the period.