UPDATE: JP Morgan Initiates Aetna at Neutral on Elusive Visibility

JP Morgan initiates its coverage on Aetna AET with a Neutral rating and a $44 price target. JP Morgan comments, "We believe a key determinant of near term stock price performance will be second quarter results, where we estimate the Street may have mis-modeled EPS vs. the company's recent commentary, potentially pressuring the stock heading into the 2Q'12 report. Longer term, we see the company's ability to stabilize commercial membership and return to growth at reasonable margins as key, combined with improved execution in the faster growth government segments following recent Ohio Medicaid contract award reversal." AET closed at $42.88 on Tuesday.