UPDATE: Deutsche Bank Initiates CyrusOne at Buy on Attractive Growth

Deutsche Bank initiated coverage on CyrusOne CONE with a Buy rating and a $26.00 price target. Deutsche Bank commented, "We see significant earnings potential in CONE's in-progress and potential development pipeline, which should allow the company to capitalize on the attractive secular demand trends within the data center industry. Specifically, we see the rapid growth of data traffic and an increasing penetration of outsourced data centers as key drivers behind our expectations of 122% growth in FAD for CONE over the next 2 years. In light of our positive outlook for CONE, we are initiating coverage with a Buy rating and a $26 target price, which offers investors an 18% expected total return (including a 2.8% dividend yield), on what we believe are conservative forward estimates." CyrusOne closed at $22.60 on Monday.