UPDATE: Morgan Stanley Reiterates On Sinovac Biotech Ltd. Following Solid 1Q14 EPS

In a report published Tuesday, Morgan Stanley analyst Bin Li reiterated an Overweight rating on

, but removed the $9.00 price target. In the report, Morgan Stanley noted, “Sinovac's 1Q14 EPS of US$0.00 was above our -US$0.01 estimate on higher hepatitis sales and gross margin. We are pleased to see more tender orders, positive progress of EV71 vaccine and continuous advance of its product pipeline, which should support top-line growth ahead. 1Q14 total sales of US$13.5mn (+34% YoY) topped our forecast by 8% on higher Bilive (Hep A+B vaccine) revenue of US$6.0mn (+100% YoY from US$3mn in 1Q13), partially offset by slower influenza sales of US$61K (vs. our US$0.3mn estimate), as 1H is normally the slowest season for flu vaccines.” Sinovac Biotech Ltd. closed on Friday at $6.02.