Digital Realty Trust (DLR-N)
NYSE:DLR
146.31
1.22
(0.84%) 1d
Financials
Technical Analysis
Buy, Sell or Hold?
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Hot inflation cools Wall Street, TSX climbs13 Recession-Proof Stocks for Portfolio SafetyThis summary was created by AI, based on 4 opinions in the last 12 months.
Digital Realty Trust (DLR-N) is a prominent player in the data center REIT sector, holding the position of the second-largest globally. Recent expert reviews highlight a mixed sentiment regarding its valuation; while some see potential risks of an overheated stock following a peak in data center demand, others are optimistic, citing record industry leasing and substantial bookings, particularly leveraging the growth from AI. The company is uniquely positioned with strong tenants, primarily major tech firms, which provides it with excellent pricing power and growth potential. Its internal growth rate exceeds 5% annually, with dividends offering a yield of 3.4%. Analysts are generally bullish, providing price targets that suggest upside from current levels, despite caution regarding market fluctuations.
Second-largest data centre REIT globally. Record industry leasing last quarter, 4 times as much as a year ago. Tenants are big tech, with lots of capital to put into data centres to support cloud rollout. Coming AI boom, will benefit. Pricing power. Over 5% internal growth annually, could be higher. Modest premium to NAV, and the NAV will increase over the years. Yield is 3.4%.
(Analysts’ price target is $147.70)One of two pure plays on data centres. Beat on top and bottom raised guidance. 12-month price target of $162.50. Yield is 3.4%.
Owns most of its data centres, whereas EQIX has arrangements with customers. As well, EQIX stock went through the "death cross", which is usually not good.
DLR is a fundamentally strong REIT, with expanding net profit margins and ROE, and it generates good free cash flows. Its yield is attractive, although its Funds From Operations (FFO) to debt have been declining over the past few years, indicating its debt levels have increased at a faster rate than FFO. It trades at a high valuation, but this can be justified given its strong fundamentals. Given a potential peak in interest rates, the underlying secular trend growth in the data center industry, and its strong fundamentals, we would be comfortable holding or adding slowly to this name.
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The chart shows a nice uptrend since late May, and coming after a 2-year downtrend before peaking at $180. It's a recovery story. Is there enough interest for this to break above $120 to $140? Watch weekly closes, rather than daily closes, because there are five data points in a week.
(A Top Pick Dec 06/19, Up 22%) Carrier-neutral data centre. Now prefers Equinix. 12-month price target of $165.50, so there's still some runway.
Digital Realty Trust(DLR-N) Rating
Ranking : 4 out of 5
Bullish - Buy Signals / Votes : 2
Neutral - Hold Signals / Votes : 0
Bearish - Sell Signals / Votes : 0
Total Signals / Votes : 2
Digital Realty Trust(DLR-N) Frequently Asked Questions
What is Digital Realty Trust stock symbol?
Digital Realty Trust is a American stock, trading under the symbol DLR-N on the New York Stock Exchange (DLR). It is usually referred to as NYSE:DLR or DLR-N
Is Digital Realty Trust a buy or a sell?
In the last year, 2 stock analysts published opinions about DLR-N. 2 analysts recommended to BUY the stock. 0 analysts recommended to SELL the stock. The latest stock analyst recommendation is . Read the latest stock experts' ratings for Digital Realty Trust.
Is Digital Realty Trust a good investment or a top pick?
Digital Realty Trust was recommended as a Top Pick by on . Read the latest stock experts ratings for Digital Realty Trust.
Why is Digital Realty Trust stock dropping?
Earnings reports or recent company news can cause the stock price to drop. Read stock experts’ recommendations for help on deciding if you should buy, sell or hold the stock.
Is Digital Realty Trust worth watching?
2 stock analysts on Stockchase covered Digital Realty Trust In the last year. It is a trending stock that is worth watching.
What is Digital Realty Trust stock price?
On 2025-04-14, Digital Realty Trust (DLR-N) stock closed at a price of $146.31.
The stock got overheated during the data centre rally. Wait for it to come back down. This could go much lower after going parabolic.