GDS Holdings (GDS) is up about 6.65% to $41.85 in Wednesday trading as bullish positioning in AI-linked data-center infrastructure reasserted itself. The bid is being reinforced by recent company updates pointing to additional capacity coming online in 2026 and a clearer capital-recycling pathway via its DayOne investment.

On March 17, 2026, GDS reported Q4 and full-year 2025 results and discussed 2026 operating priorities, including new capacity expected to enter service during fiscal 2026 and continued focus on bookings tied to hyperscale and AI-related workloads. The same earnings package reiterated the company’s progress recycling capital through a DayOne repurchase agreement that values the shares being sold at $385 million. (globenewswire.com)

The DayOne transaction has been central to the equity narrative because it brings cash back to the parent while keeping GDS exposed to upside through its remaining stake. GDS disclosed that DayOne agreed to repurchase shares from GDS for $385 million, framing it as a major step in recycling invested capital; investors have treated that as balance-sheet support alongside AI-driven demand visibility. (globenewswire.com)

Near-term, traders will watch for incremental disclosures on 2026 bookings pace, utilization trends, and any follow-on capital actions tied to DayOne. Separately, market chatter has continued around DayOne’s IPO planning and valuation ambitions, which could serve as another catalyst if timelines firm up. (sahmcapital.com)