Eaton Vance Reports Solid 4Q

JP Morgan has published a research report on Eaton Vance Corporation EV after the company reported a solid 4Q filled with one-hit wonders. In the report, JP Morgan writes "Yesterday Eaton Vance announced the acquisition of intellectual property assets from Managed ETFs LLC. Specifically it looks like this is laying the groundwork for Eaton Vance's entry into the active ETF market, without end-of-day portfolio disclosure. While the purchase price was likely small and it will take time to see benefits here, the purchase at least means Eaton Vance has an ETF strategy, a positive in our view.Eaton Vance reported F4Q10 EPS of $0.41, slightly ahead of our $0.40 estimate and the $0.39 consensus. Eaton Vance continued to post strong net inflows, saw its fee rate increase, and also had some one time benefits. In fact, without some FAS 160 related expenses EPS would have been $0.47 for the quarter. Despite the strong operational performance, we remain concerned about fund performance." JP Morgan maintains its Neutral rating but has raised the price target from $32 to $33. Eaton Vance Corporation closed yesterday at $29.47.