UPDATE: Citigroup Upgrades AllianceBernstein Holding LP to Buy on Flow Stabilization Outlook

Citigroup raised its rating on AllianceBernstein Holding LP AB from Neutral to Buy and increased its price target from $13 to $14. Citigroup noted, "Five key factors pace our change in opinion: 1) after several years of powerful attrition, we believe the flow outlook is improving; 2) 2012-14 consensus EPS estimates likely already discount further shrinkage in institutional equities; 3) AB is among the few margin improvement stories beyond market impact and every 1% of margin lift translates into 9% accretion against 2012E EPS; 4) ~9% distribution yield is attractive, and should provide further downside support; and, 5) high “misery index” relative to our coverage universe with little sell-side support – while the stock is down ~6% YTD despite signs of flow stabilization; equities up 10%+ and key peers up 8% to 20%." AllianceBernstein Holding closed at $12.22 on Thursday.