Compass Point Reiterates Buy Rating, $31.00 PT on Agree Realty Corporation

In a report published Friday, Compass Point Research & Trading reiterated its Buy rating and $31.00 price target on Agree Realty Corporation (NYSE: ADC).

Compass Point noted, “We reiterate our Buy rating and $31 price target on shares of ADC. We are updating our estimates to reflect the company's $36 million in 4Q12 acquisitions, improved debt profile, and recent $47 million common equity offering. Impressively, despite the near-term dilution from the capital raise, we still see room for the company to raise its dividend 5-10% currently. Management continues to source and close on accretive acquisitions, reduce portfolio exposure to non-core assets, and improve the quality and size of the balance sheet. Among the handful of small-cap REITs in our space, we remain convicted that ADC is a name to own for the future.”

Agree Realty Corporation closed on Thursday at $28.51.