UPDATE: Bank of America Upgrades Time Warner to Buy, Raises PT Following Investor Day

In a report published Thursday, Bank of America analyst Jessica Reif Cohen upgraded the rating on

from Neutral to Buy, and raised the price target from $79.00 to $85.00. In the report, Bank of America noted, “Following its rejection of FOX's $85+ takeover bid this summer, TWX hosted an upbeat Investor Day on 10/15, providing visibility on its accelerating, content-driven (and standalone) growth profile. Importantly, TWX's new EPS targets of ‘close to' $6 in CY16E and ‘more than' $8 in CY18E offered a better than expected window into management's five year plan, which is driven by: (1) low double digit AOI growth at Turner, (2) low double digit AOI growth at HBO and (3) high single digit AOI growth at Warner Bros. The majority of this outlook is driven by visible affil. fee gains.” Time Warner closed on Wednesday at $72.21.