Hennes & Mauritz (H&M) (HMb.ST) rises 4 percent to set a new all-time high for the third session running -- 454.90 Swedish crowns -- on the back of further price target upgrades in the wake of the clothing retailer's quarterly report last week.

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Citi, UBS and Nomura are among banks lifting their target prices on the stock on Monday 1 February.

H&M shares are up 15 percent this year compared with a below 3-percent rise for the DJ Stoxx European retail index .SXRP.

Nordic bank Nordea says that although the H&M shares could rise further in the near term, the upside potential begins to look limited.

Citigroup, however, sees healthy prospects for the stock, raising its target price to 500 crowns from 435 crowns.

"H&M remains one of the more efficient European retailers with sector-premium international growth prospects, and a business model that has become increasingly flexible in recent years," Citi says in a note.

"Given this, and a likely improving consumer (spending) following the current period of cyclically weak demand, we expect revenue patterns to improve during 2010," it says.