Value

  • Overview

    Overview

    Many companies with promising fundamental outlooks remain relatively undervalued. The Eagle Value program offers investors the opportunity to purchase stock in such ventures that we feel are priced at a discount to the underlying value of the company.

    Investment Process

    The Eagle Value team identifies investment opportunities based on the following criteria:

    Fundamental research
    • Experienced management, well-defined company strategy, financial stability and positive industry outlook
    • Presence of a catalyst to unlock unrealized value
    • Poised to experience positive earnings growth in response to cyclical movements of the economy

    Attractive valuation criteria
    • Low price-to-estimated earnings per share
    • Low price-to-book
    • Low price-to-cash flow
    • Low price-to-sales

    Sell discipline
    • Degeneration of valuation support resulting from price appreciation
    • Deterioration of company fundamentals
    • Occupation of too large a portion of total portfolio
    • Development of more attractive investment opportunity

    Portfolio Characteristics

    Typical Market Capitalization

    Greater than $5 billion

    Benchmark

    Russell 1000 Value® Index

    Account Minimum

    $100,000

    Typical Turnover

    Generally below 35%

    Typical Number of Holdings

    40 to 50

    Index Definition
    Indices are unmanaged, and one cannot invest directly in an index.

    The Russell 1000 Value® Index measures the performance of the large-cap value segment of the U.S. equity universe. It includes those Russell 1000 companies with lower price-to-book ratios and lower expected growth values. Index returns do not reflect the deduction of fees, trading costs or other expenses. The index is referred to for comparative purposes only and the composition of an index is different from the composition of the accounts included in the performance shown.

    Frank Russell Company (“Russell”) is the source and owner of the trademarks, service marks and copyrights related to the Russell Indexes. Russell® is a trademark of Frank Russell Company. Neither Russell nor its licensors accept any liability for any errors or omissions in the Russell Indexes and / or Russell ratings or underlying data and no party may rely on any Russell Indexes and / or Russell ratings and / or underlying data contained in this communication. No further distribution of Russell Data is permitted without Russell’s express written consent. Russell does not promote, sponsor or endorse the content of this communication.

  • Investment Team

    The Eagle Value team also manages the Eagle Equity Income and Eagle All Cap Equity portfolios. Contact us for information about available investment vehicles.

    Value Investment Team

    Ed Cowart

    Ed Cowart, CFA

    Portfolio co-Manager

    46 Years Of Industry Experience

    19 Years With Eagle Asset Management

    David Blount

    David Blount, CFA, CPA

    Portfolio co-Manager

    34 Years Of Industry Experience

    25 Years With Eagle Asset Management

    Harald Hvideberg

    Harald Hvideberg, CFA

    Portfolio co-Manager

    21 Years Of Industry Experience

    4 Years With Eagle Asset Management

    Brad Erwin

    Brad Erwin, CFA

    Senior Research Analyst

    23 Years Of Industry Experience

    10 Years with Eagle Asset Management

    Enrique Acedo

    Enrique Acedo

    Research Analyst

    8 Years Of Industry Experience

    7 Years With Eagle Asset Management

    Michael Rich

    Michael Rich, CFA

    Research Analyst

    13 Years Of Industry Experience

    2 Years With Eagle Asset Management

    Chris Kouffman

    Chris Kouffman, CFA

    Portfolio Analyst

    15 Years Of Investment Experience

    14 Years With Eagle Asset Management

    Matt Stuart, CFA

    Matt Stuart, CFA

    Client Portfolio Manager

    11 Years of Industry Experience

    6 Years With Eagle Asset Management

  • Performance

    Performance1 as of September 30, 2018

        Current
    Quarter
    Year
    to Date
    One
    Year
    Three
    Year
    Five
    Year
    10
    Year
    Since Inception
    (July 1, 1994)

    Eagle Value

    Gross

    5.38%

    5.76%

    12.96%

    14.27%

    11.36%

    11.23%

    9.59%

    Eagle Value

    Net

    5.18%

    5.16%

    12.07%

    13.35%

    10.43%

    9.71%

    7.75%

    Russell 1000 Value® Index

     

    5.71%

    3.92%

    9.45%

    13.54%

    10.71%

    9.78%

    9.58%


    Compounded, Annualized Rates of Return Net of Fees as of September 30, 2018

    Year Percentage $100,000 Compounded

    1

    12.07%

    $112,069

    3

    13.35%

    $145,627

    5

    10.43%

    $164,188

    10

    9.71%

    $252,639

    Since Inception (Jan. 1, 1994)

    7.75%

    $634,624


    Risk Information
    The risks associated with Value investing are based on the potential for a company's stock price to rise based upon anticipated changes in the market or within the company itself. However, if these changes either do not occur or do not have the expected impact, the company's stock price may suffer. Of course, other factors relating to a company or to general market conditions may also contribute to price declines. Value stocks have historically been sensitive to economic cycles and investor sentiment that can affect volatility and risk. The biggest risk of equity investing is that returns can fluctuate and investors can lose money.

    Not every investment opportunity will meet all of the stringent investment criteria mentioned to the same degree. Trade-offs must be made, which is where experience and judgment play a key role. Accounts are invested at the discretion of the portfolio manager and may take up to 60 days to become fully invested.

    Disclosures
    (1)The definition of the accounts included in the Value Equity Composite is as follows:
    The Value Equity Composite designed to provide investors with long-term capital appreciation through the equity ownership of medium- to large-capitalization companies which are purchased at a discount to the estimated value of the security. Large Cap Value Equity invests in under valued companies with the potential to retain their value in all economic climates and to increase their value over time.

    Past performance does not guarantee or indicate future results. No inference should be drawn by present or prospective clients that managed accounts will achieve similar performance in the future. Investment in a portfolio, investment manager or security should not be based on past performance alone. Because accounts are individually managed, returns for separate accounts may be higher or lower than the average performance stated. Individual portfolio/performance results may vary due to market conditions, trading costs and certain other factors, which may be unique to each account. There is no guarantee that these investment strategies will work under all market conditions, and each investor should evaluate their ability to invest for the long term, especially during periods of downturn in the market. Investing in equities may result in a loss of capital. Investing involves risk and you may incur a profit or a loss. Investment returns and principal value will fluctuate so that an investor’s portfolio, when redeemed, may be worth more or less than their original cost. Diversification does not ensure a profit or guarantee against a loss.

    The calculation of the performance data includes reinvestment of all income and gains and is depicted on a time-weighted and size-weighted average for the entire period. Calculations include reinvestment of all income and gains. Gross performance presented is "pure gross" and is shown before deduction of any fees. Net returns have been reduced by the entire bundled/wrap fee. The bundled/wrap fee will typically include trading, investment management, portfolio monitoring and other administrative fees charged by the sponsor. Eagle's fees are set forth in Eagle's ADV, Part II. Over a period of five years, an advisory fee of 1% could reduce the total value of a client's portfolio by 5% or more.

    Eagle Asset Management, Inc. ("Eagle") claims compliance with the Global Investment Performance Standards (GIPS®) and has prepared and presented this report in compliance with the GIPS Standards. Eagle has been independently verified for the periods from January 1, 1982 to December 31, 2017. Verification assesses whether (1) the firm has complied with all the composite construction requirements of the GIPS standards on a firm-wide basis and (2) the firm’s policies and procedures are designed to calculate and present performance in compliance with the GIPS standards. The verification and performance examination reports are available upon request.

    Eagle Asset Management, Inc. is an investment adviser registered with the Securities and Exchange Commission and is engaged in providing discretionary management services to client accounts. The benchmark is the Russell 1000® Value Index, which has been derived from published sources and has not been examined by independent accountants. The composite creation date for GIPS purposes was Jan. 1, 2013.

    Currency: all monetary amounts displayed on this website are in U.S. dollars.

    To obtain a compliant presentation and/or the firm's list of composite descriptions, please contact Eagle Asset Management at 1.800.237.3101.

    Index Definition
    Indices are unmanaged, and one cannot invest directly in an index.

    The Russell 1000 Value® Index measures the performance of the large-cap value segment of the U.S. equity universe. It includes those Russell 1000 companies with lower price-to-book ratios and lower expected growth values. Index returns do not reflect the deduction of fees, trading costs or other expenses. The index is referred to for comparative purposes only and the composition of an index is different from the composition of the accounts included in the performance shown.

    Frank Russell Company (“Russell”) is the source and owner of the trademarks, service marks and copyrights related to the Russell Indexes. Russell® is a trademark of Frank Russell Company. Neither Russell nor its licensors accept any liability for any errors or omissions in the Russell Indexes and / or Russell ratings or underlying data and no party may rely on any Russell Indexes and / or Russell ratings and / or underlying data contained in this communication. No further distribution of Russell Data is permitted without Russell’s express written consent. Russell does not promote, sponsor or endorse the content of this communication.

  • Literature

    Documents available for download


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