UPDATE: Piper Jaffray Raises PT on ViroPharma to $31

Piper Jaffray has published a research report on ViroPharma

after the company announced a supplementary NDA approval for Vancocin yesterday. In the report, Piper Jaffray writes, "The company believes these label changes qualify for 3 years market exclusivity under Hatch-Waxman (

). We are updating our Vancocin sales forecast to reflect a lack of generic competition through 2014 and raising our price target to $31 from $25. We continue to be buyers of VPHM shares at these higher levels now that the overhang of generic Vanco has been pushed out. We believe the increased visibility around corporate cash flows will improve management's ability to continue investing in growth." Piper Jaffray maintains its Overweight rating and has raised the price target from $25 to $31 on ViroPharma, which is currently trading down $1.26 from yesterday's $27.79 closing price.