UPDATE: Goldman Sachs Resumes AvalonBay Communities at Buy on Margin to Cost

Goldman Sachs resumed its coverage on AvalonBay Communities

with a Buy rating and a $164 price target per share. Goldman Sachs commented, "We estimate AVB is currently delivering developments at a material margin to cost, and has created a very strong balance sheet (an undrawn line and $358 million of cash) that should allow the company to continue development without interruption if, in the coming months, capital markets become volatile. … We are aware of potential negative technicals on the stock over the next 12 months, yet we think investors will be rewarded by remaining steady through the period and taking advantage of weakness not related to company performance." AvalonBay Communities closed at $141.30 on Monday.