Raymond James cuts GDS Holdings stock price target on pricing reset

Raymond James has lowered its price target for GDS Holdings (NASDAQ:GDS) stock from $61 to $51, while maintaining a Strong Buy rating. The stock is currently trading at $31.12, with a market capitalization of $6.24 billion. Despite being on the Most Overvalued list based on its Fair Value analysis, the company has reported a robust second quarter and raised its full-year 2026 guidance.

Analyst Frank Louthan expects 2027 EBITDA growth of approximately 6.5% to 7.0% off a normalized 2026 base, and anticipates 2026 and 2027 as transitional years before pricing pressures begin to ease in 2028.

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