UPDATE: Citigroup Upgrades Edwards Lifesciences Corp. to Buy, Raises PT on Upcoming Catalysts, Attractive Risk/Reward

In a report published Wednesday, Citigroup analyst Amit Bhalla upgraded the rating on Edwards Lifesciences Corp. EW from Neutral to Buy, and raised the price target from $75.00 to $86.00. In the report, Citigroup noted, “We are upgrading EW to Buy (from a Neutral) and are increasing our target price to $86 (from $75) based on an increased P/E multiple of 23x (from 20x) on our unchanged 2014 EPS of $3.75. While the economics of TAVI procedures continues to be a concern, we believe the stock adequately reflects a slower US adoption curve and competitive entrants in Europe. With the stock down 17% YTD (vs. S&P +19%) and trading at a 4-year low relative to medtech peers, we believe several upcoming catalysts support an attractive entry point and favorable risk/reward trade off.” Edwards Lifesciences Corp. closed on Tuesday at $74.73.