UPDATE: Keefe Bruyette & Woods Downgrades Waddell & Reed Financial To Market Perform

Keefe Bruyette & Woods is lowering Waddell & Reed WDR to Market Perform from Outperform based on valuation, while raising the PT to $44. Target Price Risks include WDR's AUM, revenues, and earnings are very sensitive to changes in the equity market. Also, WDR's AUM and flows are particularly sensitive to the performance of a handful of large funds, including the Asset Strategy and Natural Resource Funds. WDR closed Tuesday at $40.81