UPDATE: Goldman Sachs Resumes Coverage on Campus Crest Communities with Sell Rating, $10 PT

In a report published Friday, Goldman Sachs Group resumed coverage on Campus Crest Communities (NYSE: CCG) with a Sell rating and $10.00 price target.Goldman Sachs noted, “We are resuming coverage of Campus Crest Communities (CCG) with a Sell rating, relative to our Neutral apartment coverage view, and a 12-month price target of $10 (3.6% downside, including dividends). We believe CCG's below-average earnings growth – derived from a weaker core portfolio and a high cost of permanent capital for development – would drive share price performance. Our model presumes a five-year earnings growth forecast of 32%, the lowest among the student housing companies and toward the bottom of our apartment and overall coverage. We think that CCG pursued recent enrollment growth into weaker markets with inexpensive land and low barriers to entry.”Campus Crest Communities closed on Friday at $10.74.