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Kilroy Realty upgraded to Buy from Hold at Jefferies

Jefferies upgraded Kilroy Realty (KRC) to Buy from Hold with a price target of $45, up from $33. The firm adjusted ratings in the real estate investment trust space following a transfer of coverage. Artificial intelligence is the key theme shaping future office demand, and REITs with exposure to traditional gateway markets present the most attractive risk/reward, the analyst tells investors in a research note. Jefferies believes gateway office markets like San Francisco, New York City, Seattle and Boston are capturing outsized growth from AI jobs.

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