Needham Upgrades Masimo To Buy, With Price Target Of $205

Needham has upgraded Masimo Corp MASI to Buy from Hold with a $205 price target. 

• According to analyst Mike Matson, the selloff in the stock following the company's Sound United acquisition was "overdone" as the deal should prove to be highly accretive to earnings. 
• On 16 February, Masimo shares closed 37% lower at $144.62.
• Related: Masimo Stock Plunges After Q4 Results, Sound United Deal.
• Matson adds that Masimo's revenue guidance appears conservative as the Company laps easier for 2021 comps while expanding oximetry into lower-acuity settings should drive increased growth.
• After Q4 earnings, Piper Sandler downgraded Masimo from Overweight to Neutral and lowered the price target from $330 to $200.
• However, UBS maintained Masimo with a Buy and lowered the price target from $325 to $295.
• Price Action: MASI shares are up 1.79% at $155.11 during the market session on the last check Friday.