UPDATE: Wunderlich Securities Initiates Coverage on Agree Realty Corporation with Buy Rating, $30 PT

In a report published Wednesday, Wunderlich Securities initiated coverage on Agree Realty Corporation

with a Buy rating and $30.00 price target. Wunderlich Securities noted, “We are initiating coverage of Agree Realty Corporation (ADC) with a Buy rating and a price target of $30 per share, which we estimate to be in line with projected net asset value at year-end 2013. ADC is a triple net lease REIT, which means that it leases build-to-suit properties primarily to national retailers under long-term leases in which the tenant pays operating expenses, utilities, and insurance. ADC suffered from an exposure to the bankruptcy of a major tenant in 2010, but has divested or re-leased the remaining assets and begun to reallocate capital at attractive rates of return. We believe there is upside to the current indicated dividend, and that the company will create value as it expands its portfolio.” Agree Realty Corporation closed on Tuesday at $25.76.