UPDATE: Piper Jaffray Initiates Coverage on Balchem Corporation with Overweight Rating, $55 PT on Important Catalysts Ahead

In a report published Friday, Piper Jaffray analyst Mike J. Ritzenthaler initiated coverage on

with an Overweight rating and $55.00 price target. In the report, Piper Jaffray noted, “We are initiating coverage of BCPC shares at Overweight, based on a healthy growth profile (20% EPS CAGR through FY14) and highly defensible competitive positioning. Over the next 12 months, we believe important catalysts are aligning for a successful series of product launches within Food, Pharma, and Nutrition (FPN), stable growth and margins within Animal Nutrition, and continued outsized growth within the Industrial Products portfolio. Beyond 12 months, we believe the industrial platform retains tremendous upside potential, ANH will steadily grow and the FPN innovation engine is likely to yield a long runway of increasing penetration. Our $55 price target assumes no multiple expansion versus current levels (15x FY14 EV/EBITDA).” Balchem Corporation closed on Friday at $47.13.