UPDATE: Benchmark Raises PT to $18 on Cardiovascular Systems on Improved Visibility
Benchmark reiterated its Speculative Buy rating on Cardiovascular Systems (NASDAQ: CSII) and increased its price target from $13.50 to $18.
Benchmark said, "We believe that there is a significant market opportunity in the U.S. for CSII to launch their device in the coronary market during calendar Q1:14. We estimate that CSII will send their clinical data to the FDA during calendar Q1:13 and we expect regulatory approval in the U.S. and subsequent launch during calendar Q1:14. CSII did a modular design with module 1 being preclinical and module 2 being manufacturing/system quality. … Peer comparables trade at a revenue per share multiple of 3 to 5 time and, based on the improved visibility, we are moving our valuation multiple from 3 to 4 times."
Cardiovascular Systems closed at $12.22 on Monday.
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