Varian Medical Systems, Inc. (NYSE:VAR) Receives a Buy from Brean Capital

Brean Capital analyst Jason Wittes maintained a Buy rating on Varian Medical Systems, Inc. (NYSE: VAR) today and set a price target of $96. The company’s shares opened today at $87.58.

Wittes noted, “For 3Q15, we are projecting adjusted EPS of $1.14, which is above consensus of $1.11, and revenues up 12%, to $836 million, which is also above the consensus estimate of $810 million. Our numbers reflect the Maryland Proton financing, which is expected to add $80 million to revenue and $0.22 to EPS this quarter—but we do not believe it’s fully reflected in consensus. Our fiscal year 2015 top-line growth projections are even with management’s guided range at 1-2% (excluding impact from proton orders), however, we see non-GAAP EPS reaching the upper end of guidance ($4.02-$4.14, excluding estimated $0.22 proton impact) at $4.32.”

Varian Medical Systems has an analyst consensus of Hold, with a price target consensus of $93.

Varian Medical Systems` market cap is currently $8.71B and has a P/E ratio of 21.8. The company has a book value ratio of 5.2%.

Unlike Brean Capital`s latest rating, based on the recent corporate insider activity of 92 insiders, corporate insider sentiment is neutral on the stock. Last month, Ruediger Naumann-Etienne, a director at VAR sold 1,545 shares for a total of $134,585.

According to TipRanks.com, Wittes is a 4-star analyst with an average return of 8.2%and a 67.7% success rate. Wittes covers the Healthcare sector, focusing on stocks such as Smith & Nephew Snats, Wright Medical Group, and Lemaitre Vascular.

Varian Medical Systems Inc manufactures medical devices and software for treating cancer and other medical conditions with radiotherapy, radiosurgery, proton therapy and brachytherapy.