BofA starts Merit Medical at Neutral, sees 10% upside

As previously reported, BofA initiated coverage of Merit Medical with a Neutral rating and $87 price target, which implies 10% upside. While the disposable medical device maker has several potential catalysts in 2024 – including expectations for it to introduce a new long-range plan later this month and see FDA premarket approval for the WRAPSODY stent graft by year-end – it trades at a premium to comparable small-to-mid cap medtech peers, so the firm sees limited multiple expansion from here.