UPDATE: Bank of America Initiates Coverage on QTS Realty Trust on Undervalued Opportunity

In a report published Monday, Bank of America analyst Stephen W. Douglas initiated coverage on

with a Buy rating and $27.00 price target. In the report, Bank of America noted, “We have initiated coverage of QTS Realty Trust (QTS) with a Buy rating and $27 price objective. QTS is a data center REIT that owns, operates and develops data centers focused on serving Fortune 1000 customers primarily in the southeastern US; 64% of revenue is derived from the Atlanta market. The company recently completed an IPO on October 8 at $21 per share. We believe QTS is an undervalued opportunity given the strong, visible and growing demand for data center services in the US, QTS's history as an established player operating in this segment, and an attractive valuation relative to peers.” QTS Realty Trust closed on Friday at $21.43.