UPDATE: Morgan Stanley Initiates Coverage on CIGNA Corporation with Overweight Rating, $100 PT on Positive Outlook

In a report published Thursday, Morgan Stanley analyst Andrew Schenker initiated coverage on

with an Overweight rating and $100.00 price target. In the report, Morgan Stanley noted, “Most of CI's business is insulated from reform headwinds over the next few years and long-term growth businesses like international offer further protection. CI has already guided to growing earnings in 2014 absent favorable reserve development and capital deployment. Given this visibility, we are confident CI can maintain its current multiple and deliver EPS growth in line with its 10-13% growth rate target over the next few years. Pharmacy cost synergies from CTRX deal enhance overall expense leverage across CI's book of businesses. Exchange products increase CI's exposure to commercial risk business without significant execution risk.” CIGNA Corporation closed on Wednesday at $85.82.