Jefferies Maintains Hold Rating On EV

Jefferies, citing a quarter slightly above estimates, is maintaining both its Hold rating and its $26 price target on Eaton Vance EV. In the report, Jefferies writes, “EV reported adjusted F3Q11 EPS of $0.53, $0.01 above our estimate and $0.03 above consensus. However, deteriorating fund flow trends in equity strategies coupled with a volatile macro backdrop and weak investment performance in certain products has created a more uncertain outlook for organic growth. At approx. 11.5x our CY 2012 EPS, we view the shares as fairly valued.” EV closed at $23.05 yesterday.