J.P. Morgan Raising Price Target On Eaton Vance (EV)

J.P.Morgan Chase & Co. is raising its price target to $34 from $30 on Eaton Vance (NYSE: EV) given strong market returns in the third quarter, and it is raising earnings estimates as well.

In the report J.P.Morgan Chase & Co. notes, "We think that Eaton Vance generated about $3.0 bn of mutual fund sales in F3Q10, with an additional $1.3 bn in separate account sales. This would mean about 10% annual organic growth, near the top of the asset managers we cover. Importantly, flows have remained positive through early August. In addition to raising our F3Q10 EPS estimate, we are also raising our forward estimates based on the now stronger market. We also fully model just under $3 mm of closed end fund expenses in F3Q10, including compensation expense. We increase our December 2010 price target to $34.00 from $30.00."

Shares of Eaton Vance closed down 33 cents yesterday to $30.52.