UPDATE: Bank of America Reiterates Underperform Rating, Raises PT on Meru Networks

In a report published Wednesday, Bank of America reiterated its Underperform rating on Meru Networks

, and slightly raised its price target from $2.20 to $2.50. Bank of America noted, “Meru is a small, but well positioned vendor in the enterprise WLAN space. Nevertheless, on a relative basis, Meru could have one of the least upside potentials in the current environment due to risks associated with lower public spending and the discretionary nature of WLAN. We also highlight P&L risks, alarming cash burn, management change as key risks.” Meru Networks closed on Tuesday at $2.40.