Update: J.P. Morgan Initiates Coverage on Towers Watson (TW)

J.P. Morgan initiates coverage on Towers Watson (NYSE: TW) with an Overweight rating and a $60 price target.

In a report sent to clients, J.P. Morgan notes, "Formed through the January 2010 merger of Towers Perrin and Watson Wyatt, TW has become one of the largest global human resources (HR) and risk consulting firms. With an attractive mix of steady core Benefits revenues and late cyclical revenues in other segments, TW looks well positioned to capture growth opportunities as corporate discretionary spending improves."

TW closed Friday at $50.47.