UPDATE: JP Morgan Downgrades Boston Properties to Neutral on Relative Upside

JP Morgan downgraded Boston Properties BXP from Overweight to Neutral and maintained a $116.00 price target. JP Morgan noted, "While we view BXP as a core holding in the REIT space and a low-risk way to gain exposure to CBD office, we believe other CBD office names will perform better if we were to see continued improvement in key markets. … We calculate that BXP trades at 20.8x our 2013 FFO estimate, which is a 31% premium to the office group average of 15.9x. On an adjusted FFO basis (AFFO), we calculate that BXP trades at 31.5x our 2013 estimate, a 34% premium to the office group average of 23.5x. We calculate that BXP trades at 20.8x EV/EBITDA (based on in-place EBITDA), which is a 25% premium to its peer average of 16.7x." Boston Properties closed at $108.70 on Tuesday.