J.P. Morgan Rates Post Properties Underweight, Maintains $28 PT (PPS)

J.P. Morgan rated Post Properties PPS Underweight and maintained Post Properties' $28 price target in a research report published today. In the report, J.P. Morgan states, "PPS reported 4Q FFO ahead of both our estimate and Bloomberg consensus. Better-than-expected NOI and more condo gains than we expected drove the beat. Overall, PPS had a good quarter. 4Q NOI was at the top of its peer group pack largely due to a significant expense decline over the year-ago period. But even on a revenue basis, Post was competitive. 2011 FFO guidance is stronger than expected, in part due to expense savings from the buy-in of a ground lease but also because core revenue growth is likely to top our expectations and be competitive with the rest of the apartment REIT pack." Shares of Post Properties were at $37.03 in after hours trading, reflecting no change from Tuesday's market close.