UPDATE: Bank of America Downgrades Digital Realty Trust to Neutral on Valuation
Bank of America downgraded Digital Realty Trust (NYSE: DLR) from Buy to Neutral and maintained a $74.00 price objective.
Bank of America commented, "We are downgrading DLR to Neutral from Buy based on valuation. DLR's shares have recovered from their November 5, 2012 bottom of $59.28. Over the last 90 days, the stock has outperformed with a +20% total return vs. +10% for all REITs. Total potential return, including the dividend yield, is now 5.9% and the stock now screens as a Neutral within our coverage universe. Our $74 PO (unchanged) is a +10% premium to our forward NAV, reflecting the strength of DLR management."
Digital Realty Trust closed at $72.73 on Monday.
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