0726 GMT - Digital Core REIT's geographic diversification via overseas expansion looks like tailwinds to UOB Kay Hian analyst Jonathan Koh. The Singapore-listed data center REIT plans some acquisitions, including buying an additional 4.9% stake in a data center in Germany and a 10% stake in another site in Japan, the analyst says in a note. The assets offer built-in contractual rental increases of 1%-3%, Koh adds, and the expected positive impact prompts UOB Kay Hian to lift its 2025 distribution-per-unit forecast for the REIT by 3%. The brokerage raises the unit's target price to $0.79 from $0.77 and maintains a buy rating. Units rise 1.7% to $0.60. (ronnie.harui@wsj.com)
(END) Dow Jones Newswires
February 23, 2024 02:27 ET (07:27 GMT)
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