Raleigh-based Highwoods Properties, the largest owner of suburban office properties in the Southeast, has had its stock upgraded by another analyst.
Wells Fargo raised Highwoods shares (HIW) from underperform to market perform today.
Wells Fargo increased the Net Asset Value of Highwoods shares by about $1 to $28.42 and increased its valuation range to $28 to $31 from $25 to $27.
Highwoods shares were at $31.23 in early trading today.
"We believe the company's high quality suburban portfolio is well positioned to gain share as tenants seek improved space in down markets," Wells Fargo wrote in its analyst report. "A strong balance sheet is also a plus, particularly if acquisitions become more prevalent."
Last week, analysts at Stifel Nicolaus upgraded Highwoods from a hold to a buy rating.
Stifel's report also cited the real estate investment trust's solid management and strong balance sheet with minimal debt.
"We expect HIW, with its talented local teams, to maximize occupancy during the next year," Stifel wrote.
Highwoods shares are up about 13 percent since the real estate investment trust announced its fourth quarter earnings.