AvalonBay price target lowered to $205 from $245 at Argus

Argus lowered the firm’s price target on AvalonBay (AVB) to $205 from $245 but keeps a Buy rating on the shares. The firm’s remains positive on the REIT’s fundamental earnings growth and the potential for positive sector rotation, as income stocks tend to gain popularity when interest rates decline, the analyst tells investors in a research note. Argus adds that it likes AvalonBay’s broad geographic exposure, growing asset development plans and financial strength, and believes that it has strong opportunities in the upper-tier apartment market, which has high barriers to entry.