UPDATE: Piper Jaffray Upgrades Sagent Pharmaceuticals to Overweight on Turnaround Outlook

Piper Jaffray upgraded Sagent Pharmaceuticals

from Neutral to Overweight and raised the price target from $15.00 to $22.00. Piper Jaffray commented, "We believe that management, on its 4Q12 call yesterday, set an achievable and even beatable 2013 guidance bar (4Q12 revenues of $53M are nearly annualizing to the low end of the 2013 top line range of $220M-$250M). More importantly, we now have greater visibility on the emergence of sustainable cash flow generation, with a more brisk pace of generic launches and a maturing abbreviated NDA (aNDA) pipeline that consists of more shots-on-goal with better economics. With SGNT trading at an EV/sales of only near 1.3x our 2014 estimate of $310M and the company on the cusp of positive cash flows, we believe it is time to start buying SGNT." Sagent Pharmaceuticals closed at $16.36 on Thursday.