Piper Jaffray Raises Price Target as Abiomed's (ABMD) Results Fall In-line with Preliminary Release

Piper Jaffray reiterated a Neutral rating on ABIOMED (NASDAQ: ABMD), and raised the price target to $90.00 (from $75.00), following the company's 3Q earnings report. Results included revenue of $85.8M, representing ~38% y/y growth. ABMD provided updated guidance and raised its FY16 expected revenues to at or slightly better than $326M up from $305-$310M prior.

Analyst Brooks West commented, "ABIOMED released full 3Q16 results including revenue of $85.8M (in-line with its preliminary release last month) representing ~38% y/y growth. US Impella revenue was $75M, or +45% y/y (vs. PJC $68.4M or +32% y/y), and patient usage was up 45% y/y (vs. PJC estimated procedure growth of 31%). ABMD provided updated guidance and raised its FY16 expected revenues to at or slightly better than $326M (+41%) up from $305-$310M prior and its operating margin estimate to at or slightly better than 17% up from 15-17% prior. The growth at ABMD continues to be impressive and should stair-step over the next few years with the opening of major opportunities in shock and Japanese market approval. That said, we see current valuation already reflecting rich market penetration and would be opportunistic with potential delays or hiccups around the timing of catalysts to add to positions. Reiterate Neutral rating, PT to $90."

For an analyst ratings summary and ratings history on ABIOMED click here. For more ratings news on ABIOMED click here.

Shares of ABIOMED closed at $92.00 yesterday.

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