UPDATE: Bank of America Upgrades Abaxis to Neutral, Reiterates $36 PT on Valuation

In a report published Monday, Bank of America analyst Erin E. Wilson upgraded the rating on

from Underperform to Neutral, and reiterated the $36.00 price target. In the report, Bank of America noted, “ABAX's shares have declined 32% since July (vs. +5% S&P 500) on disappointing earnings reports, despite its expanded MWI Veterinary Supply distribution relationship, the launch of its reference laboratory, and strategic developments in human medical. We are lowering our FY14 EPS to $0.80 (from $0.94) to reflect a more limited opportunity associated with these initiatives, but with the recent recalibration of consensus expectations, we are upgrading our investment rating to Neutral (from Underperform). Our PO remains $36, which suggests only modest upside to the current valuation.” Abaxis closed on Friday at $34.94.