UPDATE: Bank of America Initiates CyrusOne at Neutral; Secular Strength Priced In

Bank of America initiated coverage on CyrusOne

with a Neutral rating and a $23.50 price objective. Bank of America commented, "In our view, data storage needs from expansion of cloud, big data analytics and regulatory requirements support long term growth in datacenter demand. CONE's portfolio, development pipeline and land bank are well positioned to capture this growth. Products include wholesale, colocation and interconnection. Near term, CONE plans to grow through capacity expansion at its existing facilities and development. We view these positives as priced in, and are Neutral on valuation." CyrusOne closed at $22.67 on Monday.