UPDATE 1-Goldman upgrades Best Buy to "buy"

* Goldman raises rating on Best Buy to "buy"

* Says valuation, 2010 TV forecasts behind upgrade

* Oppenheimer says "newfound optimism" misplaced

* Best Buy shares up 1.5 pct (Adds reasons, background, share move, Oppenheimer's view)

NEW YORK, March 19 (Reuters) - Goldman Sachs upgraded U.S. electronics chain Best Buy (BBY.N) to "buy" from "neutral," citing valuation and prospects for a better-than-expected 2010.

Goldman said the retailer's stock was trading at a discount to its peers, and added Best Buy could see better television sales in 2010.

The retailer is making a big bet on 3D televisions this year, but many industry analysts don't expect any quick payoffs. [ID:nN10141996]

Goldman raised its target on Best Buy to $47 from $44.

In a separate note, Oppenheimer's Brian Nagel said this "newfound optimism" was misplaced.

Best Buy has traded at a discount to similar retailers for at least the past few years as the market has increasingly worried about longer-term sales and margin prospects for the chain, Nagel said.

"We see nothing on the horizon to alleviate these concerns," he said.

Best Buy shares, which are trading at about 13 times forward earnings, were up 1.5 percent at $41.03 on Friday morning. It will report fourth-quarter results next week. (Reporting by Dhanya Skariachan; Editing by Derek Caney)