Analyst Neil Maruoka of Canaccord raised his price target on Hold-rated Valeant Pharmaceuticals Intl Inc. (NYSE:VRX) to $33 (from $31), after the drug maker announced that it has received lender consent for amendments to its credit facility.

Maruoka commented, “On balance, we view this as positive news for equity investors, but we believe that the company must still divest assets and execute operationally to fully turn the ship around. As we had noted following the quarter, the foundation has been laid and the targets have now been set; we will continue to monitor these signals (such as the new prior authorization program with Walgreens, the reacceleration of Xifaxan, asset sales, debt repayment, and operational execution) before revisiting our recommendation.”

“With our estimates sitting at the low end of adjusted EBITDA guidance, there was little breathing room on its financial maintenance covenants. We believe these amendments provide a much needed cushion should Valeant stumble over the course of the year,” the analyst added.

As usual, we recommend taking analyst notes with a grain of salt. According to, which measures analysts’ and bloggers’ success rate based on how their calls perform, analyst Neil Maruoka has a yearly average return of -39.2% and a 13.5% success rate. Maruoka has a -38.9% average return when recommending VRX, and is ranked #4032 out of 4124 analysts.

Out of the 26 analysts polled by TipRanks, 9 rate Valeant Pharmaceuticals International stock a Buy, 13 rate the stock a Hold and 4 recommend Sell. With a return potential of 96.4%, the stock’s consensus target price stands at $57.33.