BMO Capital Says Prologis (PLD) Can Benefit From Data Center Demand

​Prologis, Inc. (NYSE:PLD) is one of the Best Data Center REITs to Buy According to Analysts. It is a leading global real estate investment trust focused primarily on logistics and industrial properties, owning, operating, and developing approximately 1.3 billion square feet of facilities across 20 countries on four continents.

​The company also leverages its prime land bank near urban power infrastructure to develop data center “powered shells,” securing over 5 GW of power capacity, including 450 MW under construction.

​Recently, on May 7, BMO Capital upgraded Prologis, Inc. (NYSE:PLD) to Outperform from Neutral and raised the price target from $137 to $162. The firm noted that the company has the ability to benefit from data center demand. BMO also highlighted that in the first quarter earnings, data center suppliers represented around 10% of the company’s new leasing. The firm expects Prologis, Inc. (NYSE:PLD)’s earnings growth to accelerate based on growing data center demand.

While we acknowledge the risk and potential of PLD as an investment, our conviction lies in the belief that some AI stocks hold greater promise for delivering higher returns and doing so within a shorter time frame. If you are looking for an AI stock that is more promising than PLD and that has 10,000% upside potential, check out our report about this cheapest AI stock.

READ NEXT: 10 Best Stocks to Buy While the Market Is Down and 8 Best Quantum Computing Stocks to Buy and Hold for 10 Years. 

Disclosure: None. Insider Monkey focuses on uncovering the best investment ideas of hedge funds and insiders. Please subscribe to our free daily e-newsletter to get the latest investment ideas from hedge funds’ investor letters by entering your email address below.