TD Cowen Highlights GDS Holdings (GDS) as Best Smidcap Idea

TD Cowen analyst Michael Elias reiterated a Buy rating and $38.00 price target on GDS Holdings (NASDAQ: GDS).

The analyst commented: "Best Smidcap Ideas: Riding The AI Data Center Wave In APAC; GDS is a hyperscale-focused APAC data center operator with operations in China and Southeast Asia. We view GDS as an attractive way to play APAC data center growth and view it as undervalued vs. U.S. peers, with a pathway for growth/multiple expansion driven by ramping AI data center demand from Chinese hyperscalers, which GDS is well positioned to capture given its market leadership in China.

Our $38 PT is unchanged and derived from our Discounted Cash Flow model (DCF) in which we apply a 15.0x terminal multiple to our 2030E EBITDA estimate that is discounted back to its NPV by applying a WACC of 8.7%."

For an analyst ratings summary and ratings history on GDS Holdings click here. For more ratings news on GDS Holdings click here.

Shares of GDS Holdings closed at $27.25 yesterday.

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