Canaccord Genuity Reiterates Buy Rating, $20.50 PT on Vascular Solutions on Guardian Recall

In a report published Monday, Canaccord Genuity analyst Jason R. Mills reiterated a Buy rating and $20.50 price target on Vascular Solutions

. In the report, Mills noted, “Vascular Solutions announced that it initiated a voluntary recall on February 28 for the Guardian II and Guardian II NC hemostasis valves used in catheterization procedures due to the potential for air leaks. VASC indicated that no injuries have been reported in association with this issue. In addition, the FDA has classified this action as a Class 1 recall. Although the timing of an FDA review and validation of the modified (i.e. fixed) product has not been determined, the company anticipates re-launching Guardian in the U.S. in mid- to late April. We note that the Guardian product line generates ~$2M in annual sales, representing <2% of total projected sales for 2013.” Vascular Solutions closed on Friday at $15.00.