Bausch Health upgraded to Overweight from Neutral at Piper Jaffray - InvestingChannel

Bausch Health upgraded to Overweight from Neutral at Piper Jaffray

Piper Jaffray analyst David Amsellem upgraded Bausch Health Companies to Overweight from Neutral and raised his price target for the shares to $27 from $22. The company formerly known as Valeant Pharmaceuticals closed Monday down 32c to $18.47. The analyst says that while he’s been “unrelentingly negative” on the company for years, it is time to “turn the page following a closer look at the business.” Management has positioned Bausch not only for longer-term EBITDA stability, but potentially “meaningful” growth, Amsellem tells investors in a research note. While the company is still highly levered, a favorable maturity schedule gives it “ample breathing room,” and strong visibility into EBITDA stability/growth should enable the company to “chip away significantly at debt levels in the coming years,” says the analyst. He thinks Bausch Health’s valuation is positioned for multiple expansion over time.