JP Morgan Upgrades Waters Corp. to 'Buy'

Analyst David Molowa says the biotech firm's spectrometer business is improving, and he likes the industry outlook

JP Morgan upgraded Waters Corp. (WAT ) to buy from long-term buy.

Analyst David Molowa says the company's mass spectrometer business has improved since Q2. He notes improving foreign exchange exposure gives him greater confidence in his Street high for 2001 and 2002 estimates. Molowa says the biotech sector is poised to outperform in the second half of 2001 due to a recent likelihood that companies will meet or beat lowered financial expectations as well as positive newsflow out of clinical trials and the FDA. He raised his $41 target to $47 and says top picks in his group are Amgen (AMGN ), Biogen (BGEN ), Invitrogen (IVGN ) and Waters Corp. (WAT ).