UPDATE: Bank of America Raises Price Target on Vivus to $14

According to Bank of America, Vivus (NASDAQ: VVUS) price target is raised to $14.

Bank of America said that Vivus' chief commercial officer outlined a compelling marketing plan focused on the 78mn in the US that meet the proposed Qnexa obesity indication AND have one or more cardio-metabolic co-morbidities. “We conservatively assume a 25% royalty rate and $880mn in risk adjusted US sales by 2016. Our DCF-derived PO increases from $12 to $14.”

Vivus closed yesterday at $10.72.