UPDATE: Raymond James Downgrades Digital Realty Trust Following 3Q Miss, Lower Guidance
In a report published Wednesday, Raymond James analyst William A. Crow downgraded the rating on Digital Realty Trust (NYSE: DLR) from Strong Buy to Market Perform, and removed the $68.00 price target.
In the report, Raymond James noted, “Having been longtime supporters of Digital Realty and believers in the secular demand trends in the data center industry, we again find ourselves both disappointed and frustrated by Digital's results and guidance and therefore are slashing our rating to Market Perform from Strong Buy. We recognize the positives in the thesis: longer-term, bullish data center dynamics, fairly robust leasing trends (even in 3Q), and a valuation that to us remains compelling. Unfortunately, recent corporate execution has been dismal, investor sentiment remains unbalanced to the negative, estimates need to be revised lower, and DLR's cost of capital advantage continues to erode. The risks that come with owning DLR shares today seem to more than offset any near-term upside.”
Digital Realty Trust closed on Tuesday at $58.03.
Latest Ratings for DLR
|Jan 2017||Deutsche Bank||Downgrades||Buy||Hold|
|Dec 2016||Guggenheim||Initiates Coverage On||Neutral|
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