UPDATE: J.P. Morgan Initiates Coverage on The Container Store Group with Overweight Rating, $44 PT on Multiple Positive Factors

In a report published Tuesday, J.P. Morgan analyst Christopher Horvers initiated coverage on

with an Overweight rating and $44.00 price target. In the report, J.P. Morgan noted, “We are initiating coverage on The Container Store with an Overweight rating and a $44 Dec 2014 price target based on: (1) ~10% unit growth and ample white space in many top markets; (2) the lack of direct competition combined with the unique nature of the concept; and (3) the potential for better-than-expected store productivity and incremental margins leading to earnings upside.” The Container Store Group closed on Monday at $38.20.