Analysts with RBC Capital Markets have rated Salix Pharmaceuticals outperform in their first research note on the Raleigh company.

RBC initiated coverage with a target price of $53 for Salix shares. The stock is currently trading around $46 per share.

"While the company experienced some pipeline setbacks over the past two years, we believe these are already well reflected in the stock price," the analysts wrote.

Salix sells drugs to treat gastrointestinal ailments. Much of the RBC analysts optimism about the stock relates to their belief that revenue from Xifaxan, Salix's best selling drug, will grow significantly in the future.

Analysts at RBC Capital Markets downgraded Highwoods Properties from outperform to perform in a new report, saying the Raleigh real estate investment trust's core markets will recover slower and not provide as many opportunities to acquire distressed properties. 

"Our now lower outlook for 2011 and 2012 earnings is predicated on a slower fundamental recovery in HIW's core Southeastern markets as well as a limited opportunity to participate in distressed asset investing due to fewer offerings in its markets," the analysts said in a report.

"A lower level of incremental leasing activity, we believe, has reduced the Company's ability to take share while a lack of commitments has slowed our expectation for HIW to capture spreads through the monetization of its development pipeline by way of new build-to-suit commitments. Finally, while we are encouraged regarding HIW's solid balance sheet, we think it will do little to fuel FFO or NAV growth in the near term."

RBC analysts reduced their 12-month price target for Highwoods stock from $38 a share to $34 a share.

Highwoods shares, up 10 percent over the last year, were at $33.34 in trading this morning.

Of the 12 analysts that cover the company, 11 now have hold ratings on the stock and one has a buy rating.