UPDATE: Canaccord Genuity Raises PT on NuVasive on Multiple Positive Factors
In a report published Wednesday, Canaccord Genuity analyst William J. Plovanic reiterated a Buy rating on NuVasive (NASDAQ: NUVA), and raised the price target from $24.50 to $29.00.
In the report, Canaccord Genuity noted, “We reiterate our BUY rating and are positioning NuVasive as our top new money pick. We believe the margin expansion story is tangible and expect investors to focus on 2015 margins and earnings given a significant portion of the IP royalty payments to Medtronic cease at that point. Furthermore, we believe the recent acquisition of a manufacturer and the initiation of product introduction in Japan offer additional margin expansion opportunities. All in, we believe operating margins could expand by ~480 basis points over the next two years.”
NuVasive closed on Tuesday at $22.34.
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