UPDATE: Compass Point Raises PT on Avalon Bay Communities to $144.50

According to a research report this morning, Compass Point raises its PT on Avalon Bay Communities

from $141 to $144.50. Compass Point stated, “We continue to view AVB's high quality portfolio as the strongest in the industry, and while we believe the stock has limited upside and is fairly valued at current price levels with an implied 5.12% cap rate, the stock is becoming increasingly attractive. Our $144.50 price target assumes a 5.0% cap rate on 2012 NOI, $12 of PV of the development pipeline, and a 20% premium to our $120.06, which results in 6% upside from current levels including the dividend.” Avalon Bay Communities closed yesterday at $142.03 as Compass Point maintains its Neutral rating.