Shares of home design retailer RH /zigman2/quotes/200286355/composite RH -0.22% rose 5.4% in Tuesday trading after the company was upgraded to outperform from market perform at Cowen and raised its price target to $435 from $370. Analysts led by Max Rakhlenko think the company is on the path towards a "multi-year transformation" that has the benefit of more affluent consumers making home investments. RH also stands to gain from average unit retail (AUR) growth and migration to the suburbs. RH is expanding into Europe, with a store launch in England planned for next summer. During the most recent call, Chief Executive Gary Friedman said the company is planning to head to France over the coming years, and "throughout Europe." Cowen estimates the total addressable market (TAM) in the top 10 European economies at $40 billion to $43 billion. Analysts estimate revenue could reach $160 million in the U.K. in the first year, and $450 million after a second U.K. location launches. RH stock has gained 78.3% for the year to date while the S&P 500 index /zigman2/quotes/210599714/realtime SPX +0.03% is up 3.3% for the period.