CRT Reiterates On Edwards Lifesciences, Sees 'Many Future Growth Opportunities'

CRT reiterated its Buy rating and $150 price target on Edwards Lifesciences Corp EW Wednesday following the company’s Q4 results.

The company’s Q4 revenue grew 15 percent YoY to $618 million, beating consensus by by $9 million. EPS was up 12 percent YoY to $1.06, beating estimates by $0.11.

Analyst Shagun Singh Chadha expressed that after the earnings conference call, the firm was “ever more encouraged that Edwards is attractively positioned to deliver both top-line growth and operating leverage in 2015 and beyond.”

Chadha estimated that the the “global TAVR market was up over 45 percent in 2014 and is poised to deliver growth of approximately 25 percent in 2015.” The market is expected to reach $3 billion by 2019 based on current growth drivers.

Chadha noted that the firm’s $150 price target equated to approximately 31x it 2016E EPS vs. the large-cap MedTech peers trading at approximately 17.5x. Chadha viewed the firm’s multiple as “appropriate at this time...given the many future growth opportunities.”

Edwards Lifesciences Corp recently traded at $136.35, up 7.36 percent.