Deutsche Bank Reports Raising Estimates For Digital Reality Trust

Deutsche Bank has published a report on Digital Reality Trust DLR. According to the report, core NOI is ahead of expectations and DLR's increased 2011 guidance (+7.5c at the mid-point) driven by POSITIVE timing differences. “While the debate regarding the impact of “potential” supply will not be resolved with one quarter's worth of data, we think near-term trends remain favorable. Longer term, we think the barriers to “potential” supply will become more evident with continued strong operating performance from DLR. With our positive outlook unchanged, we are keeping our Buy rating.” Deutsche also reported that they were raising the 2011 and 2012 estimates. “With the earlier timing of certain lease commencements, a reduction in our RE tax assumption, and the push out of an expected bond offering into 2Q11 from 1Q11, we are raising our 2011 FFO/sh estimate to $3.90 from $3.80. For 2012, we are now looking for $4.25 of FFO/sh from $4.20, with the increase driven by a small reduction in average expected debt levels and lower expected RE taxes.” ION Geophysical Corp closed yesterday at $57.52.