Gleacher & Co. initiates coverage on Given Imaging, Ltd. (Nasdaq: GIVN) with a Buy rating. PT $24.
Gleacher analyst says, "On the company side, we view early PillCam Colon 2 data as solid, increasing prospects for approval and meaningful market penetration. Meanwhile, the base PillCam SB business remains stable with modest growth, and operating margins continue to improve. From a macro perspective, Given's products see very little pressure in economic downturns, and sales are well hedged (financially) against the weakening Euro. Small-cap illiquidity is the only issue. Overall, continued operating margin improvements and added visibility on Colon 2 should drive shares higher as the year progresses."