Jefferies upgraded ACS Actividades de Construccion y Servicios SA (BME:ACS) to a 'buy' rating, arguing the market is undervaluing its expanding greenfield infrastructure portfolio. The brokerage raised its price target to €116, citing a €4 billion implied equity stub that doesn't fully reflect the value of secured projects like data centers and express lanes.

This marks a significant shift in Jefferies' valuation framework, moving away from book-value treatment for early-stage assets to a sum-of-parts approach that captures the growing importance of ACS's data-center construction role. Demand from hyperscalers, accounting for 60% of data-center revenue, has already driven a more than 70% stock re-rating over the past year.