UPDATE: Topeka Capital Markets Initiates Ryland Group at Buy on Rising Demand

Topeka Capital Markets initiated coverage on Ryland Group

with a Buy rating and a $36 price target. Topeka Capital Markets commented, "We estimate RYL's community opening plan could produce triple-digit EPS growth in 2013 as it grows inside the current footprint. We believe demand is rising for RYL's homes due to declines in competing supply and improving economies in its key MSAs. We also believe RYL's historical sales mix of one-third entry-level and two-thirds move-up could be a competitive advantage if lending standards tighten due to fiscal cliff and Dodd-Frank issues." Ryland Group closed at $32.43 on Thursday.