Caris & Co. analyst David Miller said the company appears poised for growth as founder Hugh Hefner could have the funds to take the company private.
Miller said that there has been "go-private chatter" based on "reliable sources on the ground" that Hefner is capable of paying $6.50 per share.
Miller said that represents a 27 percent premium over the current trading price of $5.13.
Hefner, Playboy's largest shareholder, offered last summer to acquire any shares he didn't already own for $5.50.
But Playboy stock since has fallen almost 8 percent, making Hefner's takeover bid more attractive to investors.
Miller raised the rating on the company to "Above Average" from "Average," and the price target to $6.50 from $5.
Shares of Playboy spiked in early morning trading to $5.24, but have since leveled out and are trading around $5.10.
