Warner Music Group Corp. shares got an 8 percent boost Wednesday after a Citi Investment Research analyst upgraded the stock a day after the music label reported a smaller loss than he expected.

On Tuesday, Warner Music reported that its third-quarter loss had increased year-over-year while revenue slipped 2 percent, sending shares tumbling more than 10 percent.

The analyst, Jason Bazinet, said that revenues from the company’s recorded music business were better than expected and the stock was now underpriced. He upgraded the stock to “Buy” from “Sell.”

“With more realistic expectations coupled with the recent sell off in the shares, we think shares of Warner Music Group are undervalued,” he said.

Shares also reached an all-time low of $9.79 during trading Tuesday.

Shares rebounded Wednesday gaining 82 cents, or 8.3 percent, to $10.71 in afternoon trading.