Piper Jaffray Reiterates OW Rating, $63 PT On BAX

Piper Jaffray is reiterating its Overweight rating and $63 PT on shares of Baxter International Inc. BAX. “Adjusted ‘apples-to-apples' growth of US IVIG distribution accelerated in January, up 25% year-over-year, compared to 15% growth in December,” Piper Jaffray writes. “The robust growth combined with a decline in inventories appear to be driven by recovering demand growth and tightening supply due to the withdrawal of Octapharma from the market in September. “Although there are several moving parts affecting the market, we estimate that demand growth continues to recover in the mid- to upper-single digit range. US IVIG growth reported by Baxter and Talecris of 8% and 14%, respectively, reaffirm this view, backed up by WW growth of CSL's business of 22% in the back half of 2010.” Baxter International Inc. closed Friday at $52.42.