J.P. Morgan Initiates Coverage On HCA With Overweight Rating

According to J.P. Morgan, HCA (NYSE: HCA) coverage is initiated with an Overweight rating.

J.P. Morgan reported that it initiates coverage of HCA Inc. (HCA) with an Overweight rating. “HCA is the largest U.S. hospital system by a considerable margin, operating over 160 hospitals with nearly 39,000 beds, about 5% of the market. The company's facilities – with a portfolio mix biased toward higher-quality-ranked properties – are mostly situated in faster population growth, urban markets, often having among the leading share in those regions. Broadly, we favor such scale and market positioning in the acute care business, particularly as we look ahead, nearer term as we consider leverage for recovering job growth and, longer term, on the implications of reform. Our year-end 2011 price target is $40.”

HCA closed yesterday at $32.08.