UPDATE: JMP Securities Initiates Coverage on Laboratory Corporation of America Holdings with Market Perform Rating Awaiting Better Entry Point

In a report published Wednesday, JMP Securities analyst J.T. Haresco initiated coverage on Laboratory Corporation of America Holdings LH with a Market Perform rating. In the report, JMP Securities noted, “We are initiating coverage on Laboratory Corporation of America with a Market Perform rating. We are supportive of the company's solid progress with its five-pillar strategy to enhance business and return capital to shareholders. Moreover, we believe that the company's lower-cost infrastructure positions it better than its peers for the era of capitated healthcare spending. That said, we believe that the industry headwinds facing LH, including continued concerns with healthcare utilization, reimbursement pressure, and competition, will continue. Hence, we believe shares are fairly valued at current levels and we recommend staying on the sidelines until shares reach a better entry point.” Laboratory Corporation of America Holdings closed on Tuesday at $89.84.