Equity Residential (EQR) Upgraded To Buy

Analyst William Acheson at Benchmark has upgraded Equity Residential (NYSE: EQR) to a Buy rating on stronger-than-expected showing in the fourth-quarter.

The company reported recurring FFOPS of $0.52 in the fourth-quarter, which is ahead of Benchmark’s estimate of $0.50.

The company expects NOI to decline 4% this year. According to Benchmark, this is well below current apartment REIT forecasts. Benchmark has raised the 2010 FFOPS from $1.92 to $2.04.

According to Benchmark, the stock has underperformed its apartment peers moderately so far this year, down 4.2% compared to the group average of a 3.5% decline. Benchmark has set a price target of $38 for Equity Residential.