|Bid||125.15 x 1800|
|Ask||125.11 x 800|
|Day's Range||124.03 - 125.56|
|52 Week Range||100.05 - 129.57|
|Beta (3Y Monthly)||0.52|
|PE Ratio (TTM)||114.60|
|Earnings Date||Oct 29, 2019|
|Forward Dividend & Yield||4.32 (3.49%)|
|1y Target Est||126.60|
As cloud giants digest some of their past investments in hardware and chips, they're still investing heavily in growing their data center capacity. That's ultimately a positive for data center REITs and chip suppliers with cloud exposure.
(Bloomberg) -- New suitors have emerged for CyrusOne Inc., the data-center company exploring a sale.The Dallas-based real estate investment trust has drawn interest from rival Digital Realty Trust Inc., according to people familiar with the matter. The investment firms EQT Partners and Digital Colony Partners have also partnered to pursue a potential deal for the company, said the people, who asked to not be identified because the matter isn’t public.Discussions are ongoing and may not lead to a deal, the people said.CyrusOne, which began exploring options with advisers this summer after receiving takeover interest, closed up 2.6% in New York trading Thursday, for a market value of about $8.6 billion. The shares have gained more than 53% this year.Representatives for Digital Colony, Digital Realty and EQT declined to comment. Representatives for CyrusOne didn’t immediately respond to requests for comment.A bidder group including KKR & Co., Stonepeak Infrastructure Partners and I Squared Capital was also considering an offer for CyrusOne, Bloomberg reported last month.Demand for data center assets has intensified as infrastructure managers flush with cash look to capitalize on the trend of companies relying on third parties for managing their data. REITS that specialize in data centers have also been seeking to expand globally through acquisitions.Founded in 2001, CyrusOne has a network of 48 data centers serving about 1,000 customers in the U.S., the U.K., Singapore and Germany, according to its most recent annual report.Digital Colony is a communications infrastructure-focused investment firm and EQT is one of the largest buyout firms in Europe. In May, they partnered to buy fiber network owner Zayo Group Holdings Inc. for more than $8 billion.Digital Realty, like CyrusOne, is a REIT focused on data centers. Last year, it acquired Brazil’s Ascenty for about $1.8 billion.Brookfield, among the world’s largest alternative-asset managers, has also been increasing its technology-related infrastructure bets, buying a portfolio of data centers from AT&T Inc. last year for $1.1 billion.(Updates share price in third paragraph.)\--With assistance from Scott Deveau.To contact the reporters on this story: Nabila Ahmed in New York at email@example.com;Gillian Tan in New York at firstname.lastname@example.orgTo contact the editors responsible for this story: Liana Baker at email@example.com, ;Alan Goldstein at firstname.lastname@example.org, Matthew Monks, Daniel TaubFor more articles like this, please visit us at bloomberg.com©2019 Bloomberg L.P.
One of the best ways to invest for longer-term growth is to identify massive, ground-shifting developments. Once you identify these, find companies which are set to become leaders in the new market.Technology is one of those sectors which tends to present many new developments. These companies mint billionaires from founders and make millions more for the savvy individual investors who get into them early. And one of the big new-new things in technology is Artificial Intelligence stocks, or AI.AI is a big blanket of technology and application. Even some of the most mundane bits of mechanicals can be called AI. Take most modern transmissions in cars. Transmissions used to be dumb. They shifted in pre-determined patterns if automatic -- or merely followed the shifts from manual inputs from drivers. But today's automatic units including from ZF (a public-private company in Germany) have learning capabilities which adapt, learning how the driver of the car operates.InvestorPlace - Stock Market News, Stock Advice & Trading TipsThen there is the example that I use on a daily basis involves artificial intelligence (AI). I have a Bloomberg Terminal, which is a vital tool for pulling all sorts of data and information on any economy, market or security. But it also comes with over 2,700 journalists around the globe generating news and other stories each and every day.But interestingly, Bloomberg has adopted AI which combs basic company news releases as well as economic data releases and other basic news and lets its army of robotic writers do the work which increasingly provides a larger percentage of its posted stories.Nothing yet subjective in the robotic writing -- but you never know how this will develop. By the way, I am not a robot. * 7 CBD Stocks to Buy That Are Still Worth Your Investment Dollars But AI has a lot further to go. It can and will lead to autonomous cars and new medical and surgical treatments, as well as design of goods and a host of other applications. This also includes trading of stocks, bonds and other securities. But like for any newer, developing and evolving technology, AI has a lot than can go wrong for individual companies. So, I'll present some artificial intelligence stocks that are proven in their capabilities and will be there for the longer run. And to boot, they also pay dividends. Artificial Intelligence Stocks to Buy: Hercules Capital (HTGC)Hercules Capital Total Return Source BloombergHercules Capital (NYSE:HTGC) is based in the U.S. tech mecca of Palo Alto, California, with offices around the nation. It focuses on working with technology companies and has a good track record of financing startups that become bold-faced names in the tech market. The company makes loans and provides other financing, and it also takes equity participation in its portfolio companies. It then works with them like bankers used to do by guiding them along to an exit strategy of being bought or through an IPO.It has numerous hardware and software companies that are part and parcel of the AI sector.Its net interest margin (NIM) which is measure of the cost of funding against interest earnings is ample at 8.9% and the efficiency ratio is good at 52.5% (the lower the ratio, the greater the profitability). Revenues are up 8.8% for the trailing year. That feeds a nice annual dividend stream, including regular special distributions, yielding around 10%.It is a proven performer -- including for the year to date, with a return so far of 18%, before you count in the dividends. Microsoft (MSFT)Microsoft Total Return, Source: BloombergMicrosoft (NASDAQ:MSFT) is a major provider of all sorts of software and services which are mission critical for AI. The company offers software and systems which are used to design and operate AI components and whole systems. And to make AI truly work -- particularly with remote devices, including autonomous cars -- you need cloud computing. And Microsoft is currently the second largest cloud company with its Azure services unit.The company continues to move to further its reformation as the poster child for successful tech companies. It's moving from one-off hardware or software sales to recurring revenues from subscriptions as well as contract sales.Revenues are climbing, gaining 14% in the trailing year. Operating margins are fat at 34%, and in turn, these drive a return on equity of a whopping 42.4%.The dividend is a bit less at 1.34% but the distributions continue to rise, with five-year annual gains at 10.44%.And the stock market continues to recognize its very real performance, with the Microsoft stocki price gaining 37% year to date. AT&T (T)AT&T Total Return, Source: BloombergYes, Ma Bell. AT&T (NYSE:T) is also vital for AI. Sure, chip makers might get a lot of the attention. But just like for Microsoft, it is the mainstream companies that provide the guts for AI to operate. And as Hercules provides the next up-and-comers' products, Ma Bell and its wireless services will make them all be able to get access to data to operate.The company is the leading wireless communications company and provides fixed-line data communications for data centers and cloud operations. It also has cable and satellite transmission and content units, including Warner Brothers. Warner Brothers, of course, provides AI engineers with visions of what could be from science fiction films and series.Revenues are a little tamer for now, gaining 6.4% in the trailing year. But operating margins are good at 15.3% which makes for a good return on equity for a big company at 9.5%.The dividend is running at a whopping 5.5% and the distributions keep rising year in and year out by an average of over 2% per year.And thanks to more in the market figuring out what's under the hood of the company including some activist investment funds - the shares have returned 39.08% year to date. Digital Realty Trust (DLR)Digital Realty Trust Total Return, Source: BloombergAs noted above in Microsoft, cloud computing is vital to AI. And to make the cloud work, you need massive data centers everywhere.This is where Digital Realty Trust (NYSE:DLR) comes in.This is a real estate investment trust (REIT) which owns data centers around the U.S. and in major markets around the world where AI is being developed and implemented. And data centers are hard to quickly replicate -- making the assets of the REIT all the more valuable.Revenues are up in the trailing year by 23.9%. And the return from its funds from operations (FFO), which measures the return just from the actual revenues from its properties, is a very high for a REIT rate of 16.40%.And like for REITs in general, the dividend is higher than the general stock market at 3.38%. It has been on the rise just over the past twelve months by 7.32% in distribution amounts.Digital Realty Trust is also a good performer for shareholders with a total return for just the year to date of 23.04%. That is right on track with the returns over the past 10 years at 330.91% for an average annual equivalent return of 15.72%. And one more word on that nice dividend. Thanks to the Tax Cuts & Jobs Act of 2017 and a particular line item, the dividend comes with a 20% deduction for individual investors from their income tax liability, making the yield even higher on a tax-equivalent basis.Those are my picks for artificial intelligence stocks with proven companies with less risk and attractive dividends. Perhaps you might like to see more of my market research and recommendations for further safer growth and bigger reliable income. For more, look at my Profitable Investing. Click here to learn more.Neil George was once an all-star bond trader, but now he works morning and night to steer readers away from traps -- and into safe, top-performing income investments. Neil's new income program is a cash-generating machine…one that can help you collect $208 every day the market's open. Neil does not have any holdings in the securities mentioned above. More From InvestorPlace * 2 Toxic Pot Stocks You Should Avoid * 7 CBD Stocks to Buy That Are Still Worth Your Investment Dollars * 5 Stocks to Buy With Great Charts * 5 Goldman Sachs Stocks to Buy with Over 20% Upside Potential The post 4 Artificial Intelligence Stocks for Any Investor appeared first on InvestorPlace.
Digital Realty (DLR) forms JV with an entity jointly owned by Mapletree Investments and Mapletree Industrial Trust for three data centers. Also, by selling 10 facilities, it will shrink asset base.
SAN FRANCISCO , Sept. 16, 2019 /PRNewswire/ -- Digital Realty (NYSE: DLR), a leading global provider of data center, colocation and interconnection solutions, announced today it has entered into definitive ...
Iron Mountain's (IRM) latest addition of nearly four megawatts of turn-key data-center capacity in Amsterdam and London to help the company bank on the growing data-center demand.
Digital Realty's (DLR) latest facility launch comes as part of the company's effort to capitalize on the multibillion-pound technology boom that London is set to experience marching ahead.
Digital Realty opens new Docklands facility to support the growth of London's technology ecosystem Artificial Intelligence, Internet of Things, 5G and Blockchain currently on track to contribute £6.25 ...
Some investors rely on dividends for growing their wealth, and if you're one of those dividend sleuths, you might be...
Digital Realty Trust (DLR) reported earnings 30 days ago. What's next for the stock? We take a look at earnings estimates for some clues.
Bill Stein became the CEO of Digital Realty Trust, Inc. (NYSE:DLR) in 2014. This analysis aims first to contrast CEO...
Though data-center demand surge will fuel Digital Realty's (DLR) growth, with the company also being well poised to bank on accretive buyouts and development moves, pricing pressure will linger.
Shares of CyrusOne Inc. , a date center real estate investment trust, rose more than 8% Friday, after a Bloomberg report that the company is exploring a sale after drawing takeover interest. The news sent rivals higher with QTS Realty Trust Inc. up 3.3%, Digital Realty Trust up 2.7%, CoreSite Realty Corp. up 2.9% and Equinix Inc. up 1%. Wells Fargo analysts said the report is likely true and there is a reasonable probability the company will be taken private by a group of private infrastructure investors. Among the reasons that a take-private deal would make sense for CyrusOne is that investors have been paying premiums for hyperscale assets compared with where they would trade in public markets, the analysts wrote in a note to clients. They tend to take a longer-term investment horizon and are less focused on quarter-to-quarter volatility and could lever up the company to enable it more aggressively expand in Europe and other international markets, said the note. "On the other hand, CONE itself has noted that large hyperscale customers prefer to work with other public companies and that their access to public capital should open up dramatically once they get a second investment-grade rating," they said. CyrusOne is trading at abut 19 times Wells Fargo's next twelve month EBITDA estimate, which compares with Digital Realty's acquisition of REIT DuPont Fabros Technology , which came at a roughly 20 times multiple. "CyrusOne in many ways deserves a premium over DuPont Fabros given it has a strategic international platform, less customer concentration than DFT (which had a large pending rent roll-down with Facebook) and a more diversified business model," said the note. "On the other hand, this would be an acquisition of significant size for a private infrastructure consortium, which could merit a slight discount (for instance, ZAYO sold at a notable discount to many smaller-scale fiber assets)." CyrusOne shares have gained 32% in 2019, while the S&P 500 has gained 15%.
Iron Mountain's (IRM) expansion of Phoenix data-center campus is a strategic fit as it is one of the largest data-center markets in the nation, enjoying lower costs and minimal natural disasters risk.
SAN FRANCISCO , Aug. 13, 2019 /PRNewswire/ -- Digital Realty (NYSE: DLR), a leading global provider of data center, colocation and interconnection solutions, announced today its board of directors has ...
Digital Realty's (DLR) expansion of IBM Cloud's Direct Link access and capabilities in Sydney likely to speed up the hybrid cloud adoption for local enterprises.
Connection to IBM Cloud Expected to Accelerate Hybrid Cloud Adoption for Digital Realty's Australian Customer Base SYDNEY , Aug. 12, 2019 /PRNewswire/ -- Digital Realty (NYSE: DLR), a leading global provider ...
By John Jannarone Colony Capital Founder & CEO Thomas Barrack to Step Aside Following Activist Blackwells Capital's Influence Strategy Shift from Digital Bridge Acquisition Indicates Colony is Worth at Least $12.74 per Share in Sum of the Parts Analysis Blackwells Capital Likely to Nominate an Additional Four Directors to Board Colony Capital Inc. has taken […]
SAN FRANCISCO , Aug. 6, 2019 /PRNewswire/ -- Digital Realty (NYSE: DLR), a leading global provider of data center, colocation and interconnection solutions, announced today the appointment of Jeffrey ...
Digital Realty Trust's (DLR) Q2 performance reflects solid demand for data-center facilities, encouraging the company to reaffirm its core FFO projections for the current year.