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NEW YORK (TheStreet) -- LDR Holding (LDRH) stock was downgraded to "equal weight" from "overweight" at Barclays on Friday morning.

The firm also raised its price target to $37 from $27 on the Austin-based medical device company.

The lower rating and higher price target come after Zimmer Biomet (ZBH) announced a deal to acquire the company for about $1 billion earlier this week.

"Since the offer, LDRH's stock has been trading within $0.10 of the bid and above our 1 year fundamental price target of $27. Given the run-up, we view LDRH as close to fair value; our prior upside case was $31," Barclays wrote in a note to investors.

The firm acknowledged that LDR may be worth more to an acquirer given the potential for synergies, accelerated growth driven by a larger combined sales force, potential for additional insurance coverage and upside from a successful deal.

But the current stock valuation implied by the market warrants a downgrade, according to Barclays.

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"Given the high probability of the deal closing and the short Q3 closing window, we believe a price target at the deal price is fair," the firm added.

Shares of LDR Holding are higher by 0.03% to $36.92 on Friday morning.

Separately, TheStreet Ratings Team has a "Sell" rating with a score of D on LDRH stock.

The company's weaknesses can be seen in multiple areas, such as its feeble growth in its earnings per share, deteriorating net income, disappointing return on equity, weak operating cash flow and generally disappointing historical performance in the stock itself.

Recently, TheStreet Ratings objectively rated this stock according to its "risk-adjusted" total return prospect over a 12-month investment horizon. Not based on the news in any given day, the rating may differ from Jim Cramer's view or that of this articles's author.

You can view the full analysis from the report here: LDRH

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