UPDATE: Credit Suisse Reiterates Outperform Rating, Raises PT on Thoratec Corporation on 4Q Preview

In a report published Tuesday, Credit Suisse analyst Bruce Nudell reiterated an Outperform rating on

, and raised the price target from $35.00 to $40.00. In the report, Credit Suisse noted, "We're adjusting our 4Q14 sales/EPS estimates to $109.4M (-12.8% CC)/$0.25 from $107.8M (-14.3% CC)/$0.26 on slightly better assumed US market growth & THOR market share (following HTWR's preannouncement & THOR's positive 4Q commentary at a recent investor conference) offset by higher assumed SG&A. Our forecasts compare with consensus of $107.0M (-16.5% YoY reported)/$0.24. For FY15, we're adjusting our sales/EPS estimates to $458.8M (2.9% CC)/$1.12 vs. our prior estimates of $459.8M (1.6% CC)/$1.12 on stronger assumed EU HMII performance offset by greater assumed Fx headwinds. Our estimates compare with consensus of $454.6M (-0.5% YoY reported)/$1.16. We're also raising our DCF-based TP to $40 from $35 on a higher assumed terminal growth rate. Though our valuation implies a premium P/E multiple of 27X our 2016 EPS estimate, we believe a premium is warranted given our 2015-17 sales/EPS CAGR forecast of 9%/23%." Thoratec Corporation closed on Monday at $35.60.