Maintaning Hold Rating For FII Despite Increased EPS Estimates & Increased AUM

Federated Investors, Inc. FII EPS estimates have been increased as well as AUM however the stock is maintaining a Hold Rating because the money market backdrop continues to be an over hang according to Citi analysts. In a research note Citi writes, "Increasing F2010-12 EPS estimates from $1.49/$1.76/$1.97 to $1.52/$1.80/$2.02 on higher AUM + flows. Our 3Q estimate of $0.36 moves to $0.37, but $0.01 below FC consensus. We factor quarterly fee waivers of $11/12 million, consistent with management's prior guidance." FII closed yesterday at $23.13