UPDATE: Citigroup Upgrades PAREXEL International to Buy on Operational Improvement, Valuation

Citigroup raised its rating on PAREXEL International PRXL from Neutral to Buy and increased its price target from $34 to $36. Citigroup commented, "We are upgrading PRXL to Buy with a $36 price target (+$2) based on: a misunderstood press release issued December 27th to announce a modest acquisition that is favorable, improving core operational metrics & related read-through to its major big pharma partnership implementation, and recent pullback in valuation. We also note $100mn worth of remaining share repurchase authorization as the initial $100mn buyback concludes that may create a near term catalyst. Net, we believe the mix of positive data points together with a more palatable valuation creates a favorable risk/reward profile for investors." PAREXEL International closed at $29.21 on Monday.