GDS - GDS Holdings pares loss after analyst says China data center report is positive

sefa ozel/E+ via Getty Images GDS Holdings (GDS) pared much of an earlier decline after a Cowen analyst said a report that China has a new three-year plan to construct data centers is positive for the company. "We view today's announcement as positive for GDS as it is clear that the Chinese gov't is promoting the development of new Tier 1 data centers not only in China but also abroad in countries that are part of its Belt and Road initiative," Cowen analyst Colby Synesael wrote in a note. The Chinese news is likely to drive greater demand and benefit incumbents like GDS, Synesael wrote. In addition, the initiative could provide GDS a vehicle to expand in the Southeast Asia market in coordination with a Chinese "HSP." Cowen rates GDS outperform with a $100 PT. Also see SA contributor Billy Lee's piece from last month entitled "GDS Holdings' Secular Growth

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GDS Holdings pares loss after analyst says China data center report is positive