UPDATE: Credit Suisse Initiates Coverage on Willis Group Holdings PLC with Neutral Rating, $49 PT as Self-Help Margin Story is Reflected in Valuation

In a report published Wednesday, Credit Suisse analyst Ryan Tunis initiated coverage on

with a Neutral rating and $49.00 price target. In the report, Credit Suisse noted, "As a result of the company's operational improvement initiative that we think will cumulatively produce $420mm of cost saves over the next three years, we see organic margins improving 1 pt a year from 18% to 21% by the end of 2017. WSH's comp ratio has historically been several points higher than its broker peers, and we are constructive on WSH's ability to achieve its $300mm annualized savings target over the next three years as it manages employee-related expense. Willis Group Holdings PLC closed on Tuesday at $48.18.