Canaccord Genuity Boosts PT, Comments on 21Vianet (VNET) to $35 Following Q2 Results

Canaccord Genuity boosts its price target on 21Vianet (Nasdaq: VNET) from $31 to $35 following Q2 results issued late Wednesday. The firm keeps 21Vianet with a Buy rating.

Analyst Greg Miller commented, After trading lower for two straight days into the Q2/14 earnings report, 21Vianet produced results with solid guidance after the close that we would expect to cause the shares to rally on the news. Q2/14 revenues were ahead of expectations largely driven from higher than expected hosting revenues and, to a lesser degree, MNS. EBITDA was in line with our expectations and slightly lower than the Street as investments in various growth initiatives somewhat offset strong revenue growth. Guidance for Q3/14 and 2014 was meaningfully higher than current expectations on contributions from acquisitions and, more importantly, continued underlying strength in the core data center business. With Microsoft continuing to ramp (nearly $6mm USD in Q2) and IBM commercializing soon, we increase our estimates and price target.

For an analyst ratings summary and ratings history on 21Vianet click here. For more ratings news on 21Vianet click here.

21Vianet closed at $28.31 yesterday.

You May Also Be Interested In

• LuxUrban Hotels Inc. (LUXH) PT Lowered to $4 at Jones Trading
• Itau BBA Reiterates Outperform Rating on Lojas Renner SA (LREN3:BZ) (LRENY), Maintain Top Pick
• Amazon.com (AMZN) PT Raised to $224 at Stifel