Small Cap Core Value
managed by Eagle Boston Investment Management

Eagle Boston's Small Cap Core Value program strives to build portfolios consisting of stocks that we believe we can purchase at a discount to their long-term value. We seek stocks where growth and profitability have a high likelihood of improving beyond the market's current expectations, but that trade at reasonable valuations.

Affiliated Mutual Fund

Investment Process
Investment
Team
Performance
Literature

The Eagle Boston Small Cap Core Value program in selecting appropriate investments for our clients' portfolios, look for the following qualities:

Industry factors

  • Favorable supply/demand dynamics
  • Competitive environment that allows for attractive returns on capital
  • Industry/company demand drivers bottoming or improving

Financial health

  • Clean balance sheet
  • Free-cash flow neutral to positive
  • Stable to improving margins, returns and earnings

Management

  • Focused on long-term value creation
  • Reasonable plan for the business
  • Compensation incentives aligned with shareholders

Sell discipline

We initially establish target buy and sell prices for each security, but fundamental shifts in a company's financial situation may cause us to adjust those targets. We typically will sell a holding if any of the following conditions occur:

  • The stock reaches its target price and there is no compelling reason to adjust that target
  • We could better use the money elsewhere
  • The stock's fundamentals deteriorate or the thesis we used to buy the stock materially changes
  • The company's market capitalization exceeds the limits of our investment mandate
  • The holding becomes too large a percentage of the overall portfolio