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DuPont Fabros Technology (DFT)

  • Tue, Nov. 24, 8:28 PM
    • Favorable trends in cloud traffic are a boon for data-center companies, says SunTrust Robinson Humphrey in a positive launch on the sector.
    • Analyst Inder Singh singled out CyrusOne (NASDAQ:CONE), DuPont Fabros (NYSE:DFT) and Equinix (NASDAQ:EQIX) as picks in the space, which should benefit from growing bandwidth-intensive applications, particularly streaming video. Traffic is expected to grow at a compound annual growth rate of 23% through 2019.
    • "Given that two-thirds of internet traffic is data center related, the importance of data centers both from a colocation and cloud perspective is significant," says Singh. "Data center traffic is the biggest component of Internet traffic, almost twice as much as the traffic that transverses IP WAN networks."
    • Mergers and acquisitions could continue, too, as companies look to become "one-stop shops" for clients and pursue scale.
    • The firm launched CONE, DFT, EQIX and Zayo Group (NYSE:ZAYO) at Buy, along with a Buy rating for Cisco Systems (NASDAQ:CSCO), as well as a Neutral rating for Internap (NASDAQ:INAP).
    • Price targets: $43 for CONE (22% upside from today's $35.25); $40 for DFT (22% upside from today's $32.90); $345 for Equinix (18% upside form today's $293.21); $32 for Cisco (17% upside from today's $27.27); $7.50 for Internap (7.5% upside from today's $6.98); $34 for Zayo (41% upside from today's $24.02).
    | Tue, Nov. 24, 8:28 PM | 5 Comments
  • Mon, Nov. 23, 8:34 PM
    • Data center operators probably aren't in a buying mood for facilities that might be for sale -- particularly CenturyLink's, Macquarie suggests in a new report -- but private-equity firms could come in with bids.
    • CenturyLink (NYSE:CTL), the nation's third-largest local phone company, plans to sell 59 centers worldwide, and while Macquarie had thought Digital Realty Trust (NYSE:DLR) would get involved, analyst Kevin Smithen has changed his view after attending an industry trade show.
    • He now doubts that a buyer will come from among Digital Realty, DuPont Fabros (NYSE:DFT), Equinix (NASDAQ:EQIX), CyrusOne (NASDAQ:CONE), CoreSite or QTS Realty, with a limited "pool of logical and capable buyers" for assets from CenturyLink, or from Verizon (NYSE:VZ) or AT&T (NYSE:T). But near term, "private equity seems like the most likely acquirer of assets this size."
    • While CenturyLink assets are for sale, Verizon CFO Fran Shammo tried to shut down "speculative" reports that the company would pursue $10B in asset sales.
    | Mon, Nov. 23, 8:34 PM | 2 Comments
  • Tue, Nov. 17, 10:03 AM
    | Tue, Nov. 17, 10:03 AM | Comment!
  • Fri, Nov. 13, 11:06 AM
    • Co-founder and Vice Chairman Hossein Fateh has resigned from the board of DuPont Fabros Technology (NYSE:DFT), electing to pursue other interests full time.
    • The move is effective today. Fateh co-founded the company with Lammot du Pont and was DFT's first CEO.
    • "DFT has a compelling strategic plan and a solid leadership team," Fateh says. "With the succession process completed, I now can devote my attention full time to other interests."
    | Fri, Nov. 13, 11:06 AM | Comment!
  • Mon, Nov. 2, 9:27 AM
    • DuPont Fabros (NYSE:DFT) has hired industry veteran Robert O'Keefe as senior VP and chief marketing officer.
    • He'll oversee all of the company's marketing, communications, digital and brand management.
    • O'Keefe previously led marketing, business management and business development at NTT America, and served in previous stints at SanDisk and Frontier Communications.
    | Mon, Nov. 2, 9:27 AM | Comment!
  • Thu, Oct. 29, 1:03 PM
    • DuPont Fabros (NYSE:DFT) has gained 2.6% following a Q3 report where it beat on top and bottom lines and commenced a pair of leases for 14,386 square feet combined.
    • FFO was $0.62/share (up 3%). Earnings of $0.29/share beat the non-GAAP expectation of $0.28.
    • Subsequent to the quarter's end, the company has signed eight leases totaling 162,496 computer-room square feet, with a weighted average lease term of 6.1 years.
    • As of today, the company says, its operating portfolio is 97% leased and 93% commenced on a square-foot basis (95% leased and 91% commenced in critical load).
    • The firm increased the capacity of its line of credit to $700M during the quarter, from $560M, and all $700M is available as of today.
    • Conference call beginning now (1 p.m. ET).
    • Press Release
    | Thu, Oct. 29, 1:03 PM | Comment!
  • Thu, Oct. 29, 7:04 AM
    • DuPont Fabros (NYSE:DFT): Q3 FFO of $0.62 beats by $0.01.
    • Revenue of $115.34M (+9.2% Y/Y) beats by $2.92M.
    • Press Release
    | Thu, Oct. 29, 7:04 AM | Comment!
  • Wed, Oct. 28, 5:30 PM
  • Wed, Sep. 23, 11:05 AM
    • Macquarie's Kevin Smithen says the firm's bearish thesis on data center stocks might have been flawed, and maintained an Overweight rating on DuPont Fabros (DFT -0.4%) and CenturyLink (CTL +0.3%) amid overall sentiment improvement in the area.
    • He has a price target on DuPont Fabros (his top sector pick) of $40; shares are trading at $26.08, implying 50%-plus upside. The target on CenturyLink is $37, about 45% upside from a current $25.45.
    • “Over the last year, while investors were focused on the thematic growth prospects of wireless telco, fiber and CDNs, and trying to rationalize declining lower multiples (since the 1H14 rally), data centers have gained noticeable mind-share,” he says.
    • Pricing, dividend yields and (relative) growth opportunities are "key areas of improvement" among data centers, he notes. Average yield in the companies' segment is 4.4%, while DuPont Fabros sports a 6.4% yield and Digital Realty Trust (NYSE:DLR) a 5.3% yield.
    | Wed, Sep. 23, 11:05 AM | 2 Comments
  • Tue, Sep. 22, 3:42 PM
    • DuPont Fabros (NYSE:DFT) is 4.2% lower today after RBC Capital downgraded shares to Sector Perform, from Outperform.
    • The analysts lowered their price target to $29, from $34. Shares closed yesterday at $27.50 and are trading now at $26.35.
    • The firm pointed to three reasons for the change; aside from rebalancing considerations, there are "concerns about tenant concentration and renewal spreads" tied to the company's exposure to large-tenant leases, which it sees as an issue for the foreseeable future.
    • "DFT has four customers contributing greater than 10% of annualized rent, representing 61% of annualized rent," they write. "The fifth-largest customer contributes approximately 5% of annualized rent.”
    • While the new target has some upside, RBC doesn't see many catalysts ahead.
    | Tue, Sep. 22, 3:42 PM | Comment!
  • Tue, Aug. 11, 3:52 PM
    • DuPont Fabros (NYSE:DFT) shares are down 2%, and hitting their lowest point since October, on heavier than average volume today after a downgrade from Robert W. Baird.
    • The analysts lowered their rating to Neutral, from Outperform.
    • The firm set a $34 price target, down from $35. Shares are trading at $28.81. Consensus on the stock in general is split between Buy and Hold.
    • In its most recent earnings, the company raised its FFO guidance for the full year but trimmed the midpoint of Q3 FFO slightly.
    | Tue, Aug. 11, 3:52 PM | Comment!
  • Thu, Jul. 30, 12:44 PM
    • DuPont Fabros (NYSE:DFT) is off 2% as Q2 earnings missed slightly despite in-line funds from operations.
    • Revenue grew nearly 12% from the prior year, though EPS of $0.30 missed by a penny and EBITDA of $67.1M missed an expected $68.9M.
    • As of today, the company says its operating portfolio, excluding newly open CH2 Phase I, was 96% leased and commenced. This month CH2 Phase I was put into service 20% leased.
    • YTD, the company has signed seven leases with a weighted average lease term of 7.1 years, expected to generate about $16.5M of annualized GAAP base rent revenue; and commenced nine leases totaling 18.32 MW.
    • The company increased the size of a credit line to $700M from $560M this month, but all $700M is available for use.
    • The company's bumping up guidance on 2015 normalized FFO by $0.03, to a range of $2.38-$2.48/share. It's lowered the midpoint of Q3 normalized FFO to $0.59-$0.62.
    • Conference call to come at 1 p.m. ET.
    • Press Release
    | Thu, Jul. 30, 12:44 PM | Comment!
  • Thu, Jul. 30, 7:05 AM
    • DuPont Fabros (NYSE:DFT): Q2 FFO of $0.62 in-line.
    • Revenue of $113.8M (+11.6% Y/Y) beats by $5.8M.
    • Press Release
    | Thu, Jul. 30, 7:05 AM | Comment!
  • Wed, Jul. 29, 5:30 PM
  • Tue, Jul. 28, 7:21 AM
    • DuPont Fabros (NYSE:DFT) declares $0.42/share quarterly dividend, in line with previous.
    • Forward yield 5.53%
    • Payable Oct. 15; for shareholders of record Oct. 2; ex-div Sept. 30.
    | Tue, Jul. 28, 7:21 AM | Comment!
  • Tue, Jun. 16, 10:58 AM
    • Merger activity in the world of data-center REITs has Cantor Fitzgerald's Evan Smith adjusting outlooks to the upside for key players.
    • Earnings growth will benefit from consolidation, he notes, amid rents rising due to demand. The combinations appear driven by a "race to dominance" rather than return-seeking, but there's room to run yet for many.
    • His top pick, DuPont Fabros Technology (NYSE:DFT), got a raised price target (to $36) and features a Buy rating. Shares are trading today up 0.4% to $31.13.
    • Two other stocks still have room for improvement but less upside, Smith notes. He's upgraded Digital Realty Trust (DLR +0.5%) to Hold with a price target of $67; shares are trading at $66.28. CoreSite Realty (COR -0.2%) he maintains at Hold, but with a raised price target to $46, from $40; shares are trading at $46.65.
    | Tue, Jun. 16, 10:58 AM | Comment!
Company Description
Dupont Fabros Technology Inc is a real estate investment trust. The Company through its subsidiaries owns, acquires, develops and operates wholesale data centers used by national and international technology companies.
Sector: Financial
Country: United States