Morningstar raises fair value estimate on Australia's DigiCo Infrastructure REIT

DigiCo Infrastructure REIT

05/10/2025 19:39

** Morningstar raises fair value estimate on Australia's DigiCo Infrastructure REIT DGT.AX by 2% to A$3.15 per security

** The data centre operator on Friday said it expects to record underlying EBITDA of A$120 million ($79.16 million)-A$125 million in FY26, up from FY25 EBITDA of A$99 mln

** Morningstar raises fiscal 2026 underlying EBITDA forecast for company by 2% to A$128 million

** Company is currently benefiting from demand tailwinds from ongoing artificial intelligence race at Big Tech cos - Morningstar

** Investment research firm however sees economics of data centres to be challenging in long term due to low barriers to entry for adding new supply

** Six of nine analysts rate the stock "buy" or higher, three "hold"; their median PT is A$3.90, according to data compiled by LSEG

** Stock has fallen 31.5% this year, as of last close

($1 = 1.5158 Australian dollars)

 (Reporting by Roshan Thomas in Bengaluru; Editing by Edmund Klamann)

 ((Roshan.Thomas@thomsonreuters.com;))