Wall Street Turns Bullish on Data Centers, Drugmakers

Analysts fired off a string of upgrades on Thursday, with data center REITs and healthcare distributors drawing the most attention.

Digital Realty Trust scored the session's sharpest upgrade. TD Cowen's Michael Elias lifted the stock from Hold to Buy. His new target of $222 compares to a prior $192 — a 16% jump. The data center giant carries a $66 billion market cap. Short interest sits at just 2.3% of free float, meaning few bears are positioned against the move.

McKesson Corporation also drew a bullish call. Citigroup's Daniel Grosslight raised his target to $1,000 from $945, reiterating Buy. The $96 billion distributor is a rare name to cross the four-figure target threshold.

On the other side, Piper Sandler trimmed its target on Tesla to $450 from $500. Analyst Alexander Potter kept his Buy rating intact. The cut reflects growing caution on near-term delivery volumes.

Defense names saw mixed action. Lockheed Martin consensus targets crept higher to $623. Northrop Grumman saw a slight target trim to $643.

Dell Technologies consensus targets rose to $503 from $489 as AI server demand keeps analysts optimistic on the hardware maker.

Ameriprise Financial received a double boost. Keefe, Bruyette & Woods raised its target to $545 from $515. The broader consensus average climbed to $563.