UPDATE: JP Morgan Initiates HCA Holdings at Overweight on Reform Leverage

JP Morgan initiated coverage on HCA Holdings

with an Overweight rating and a $31.21 price target. JP Morgan noted, "We see HCA as well-positioned from both a fundamental and coverage expansion standpoint heading into 2014 Healthcare Reform implementation. Fundamentally, the company benefits from strong local and national scale, allowing for above-average growth, margin and FCF profile. Looking ahead to reform, our JP Morgan Healthcare Reform Model estimates that HCA has among the highest upside leverage to coverage expansion in 2014E-16E." HCA Holdings closed at $31.21 on Monday.