UPDATE: Piper Jaffray Reiterates Overweight on Globus Medical, Synthes Award in Line With Expectations

In a report published on Monday analysts at Piper Jaffray reiterated its Overweight rating on

and maintained its $22 PT on the company. In the report lead analyst Matt Miksic commented that, "The jury award related to the Synthes patent case was roughly in line with expectations, given the revenue history of the products in question and royalty rate in the 8-15% range. The implied royalty in the jury award hit the high end of the range (15%) by historical standards, but not inconsistent with the recent ongoing royalty rates set for certain products related to the NuVasive-Medtronic jury award (13.75%). Globus has stated that it will seek the reversal of this decision through post-trial motions or the appeals process, however if the award ultimately stands as is, we believe it would represent another efficient resolution of patent litigation by management in a manner that minimizes disruption to the business, while also preserves capital and avoids the downstream impact of ongoing royalties. We reiterate our Overweight rating on GMED and $22 target, and remain buyers at current levels." Globus Medical is up 4.35 percent on the day and currently trades at $15.85