Is Digital Realty Stock a Good Investment?
Digital Realty Investment Advice | DLR |
- Examine Digital Realty's financial health by looking at its balance sheet, income statement, and cash flow statement. Analyze key financial ratios, such as Price-to-Earnings (P/E), Price-to-Sales (P/S), and Price-to-Book (P/B), to determine whether the stock is fairly valued or over/undervalued.
- Research Digital Realty's leadership team and their track record. Good management can help Digital Realty navigate difficult times and make strategic decisions that benefit shareholders and increases its net worth.
- Consider the overall health of the Specialized REITs space and any emerging trends that could impact Digital Realty's business and its evolving consumer preferences.
- Compare Digital Realty's performance and market position to its competitors. Analyze how Digital Realty is positioned in terms of product offerings, innovation, and market share.
- Check if Digital Realty pays a dividend and its dividend yield and payout ratio.
- Review what financial analysts are saying about Digital Realty's stock and their price targets. However, remember that analysts' opinions can vary, and their predictions may not always be accurate.
It's important to note that investing in Digital Realty Trust stock, carries risks, and you should carefully consider your investment goals and risk tolerance before making any investment decisions. Also, remember that it's important for investors to have a long-term perspective and a well-diversified portfolio to manage the impact of stock market volatility on their investments. Below is a detailed guide on how to decide if Digital Realty Trust is a good investment.
Sell | Buy |
Buy
Market Performance | Insignificant | Details | |
Volatility | Very steady | Details | |
Hype Condition | Low key | Details | |
Current Valuation | Overvalued | Details | |
Odds Of Distress | Below Average | Details | |
Economic Sensitivity | Follows the market closely | Details | |
Investor Sentiment | Alarmed | Details | |
Analyst Consensus | Buy | Details | |
Financial Strenth (F Score) | Healthy | Details | |
Financial Leverage | Not Rated | Details | |
Reporting Quality (M-Score) | Unlikely Manipulator | Details |
Examine Digital Realty Stock
Researching Digital Realty's stock involves analyzing various aspects of the company and its industry to make an informed investment decision. The key areas to focus on are fundamentals, business model and competitive advantage. It is also important to analyze trends in revenue, net income, and cash flow, as well as key financial ratios, such as price-to-earnings (P/E), price-to-sales (P/S), and debt-to-equity (D/E). About 98.0% of the company shares are held by institutions such as insurance companies. The book value of Digital Realty was currently reported as 58.54. The company last dividend was issued on the 14th of June 2024. Digital Realty Trust had 1000:1005 split on the 14th of January 2015.
To determine if Digital Realty is a good investment, evaluating the company's potential for future growth is also very important. This may include expanding into new markets, launching new products or services, or improving operational efficiency. Companies with strong growth prospects can be more attractive investments. This aspect of the research should be conducted in the context of the overall market and industry in which the company operates and should include an analysis of growth potential, competitive landscape, and any regulatory or economic factors that could impact the business. Some of the essential points regarding Digital Realty's research are outlined below:
| Digital Realty Trust has 18.97 B in debt with debt to equity (D/E) ratio of 0.9, which is OK given its current industry classification. Digital Realty Trust has a current ratio of 0.7, suggesting that it has not enough short term capital to pay financial commitments when the payables are due. Note however, debt could still be an excellent tool for Digital to invest in growth at high rates of return. | |
| Over 98.0% of Digital Realty shares are held by institutions such as insurance companies | |
| On 28th of June 2024 Digital Realty paid $ 1.22 per share dividend to its current shareholders | |
| Latest headline from seekingalpha.com: Digital Realty Trust Q2 2024 Earnings Preview |
Digital Realty Quarterly Accounts Payable |
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Digital Realty uses earnings reports to provide investors with an update of all three financial statements, including the income statement, the balance sheet, and the cash flow statement. Therefore, it is also crucial when considering investing in Digital Realty Trust. Every quarterly earnings report provides investors with an overview of sales, expenses, and net income for the most recent period. It also may provide a comparison to Digital Realty's previous reporting period. The quarterly earnings reports are usually disseminated to the public via Form 10-Q, which is a legal document filed with the Securities and Exchange Commission every quarter.
| 15th of February 2024 Upcoming Quarterly Report | View | |
| 25th of April 2024 Next Financial Report | View | |
| 31st of December 2023 Next Fiscal Quarter End | View | |
| 15th of February 2024 Next Fiscal Year End | View | |
| 30th of September 2023 Last Quarter Report | View | |
| 31st of December 2022 Last Financial Announcement | View |
Earnings surprises can significantly impact Digital Realty's stock price both in the short term and over time. Negative earnings surprises usually result in a price decline. However, it has been seen that positive earnings surprises lead to an immediate rise in a stock's price and a gradual increase over time. This is why we often hear news about some companies beating earning projections. Financial analysts spend a large amount of time predicting earnings per share (EPS) along with other important future indicators. Many analysts use forecasting models, management guidance, and additional fundamental information to derive an EPS estimate. Below are the table of largest EPS Surprises Digital Realty's investors have experienced.
| Reported | Fiscal Date | Estimated EPS | Reported EPS | Surprise | |||
|---|---|---|---|---|---|---|---|
2008-02-26 | 2007-12-31 | 0.01 | 0.0038 | -0.0062 | 62 | ||
2008-11-05 | 2008-09-30 | 0.1 | 0.11 | 0.01 | 10 | ||
2008-08-06 | 2008-06-30 | 0.06 | 0.05 | -0.01 | 16 | ||
2009-07-30 | 2009-06-30 | 0.11 | 0.13 | 0.02 | 18 | ||
2023-04-27 | 2023-03-31 | 0.22 | 0.19 | -0.03 | 13 | ||
2010-04-29 | 2010-03-31 | 0.21 | 0.18 | -0.03 | 14 | ||
2009-10-29 | 2009-09-30 | 0.13 | 0.16 | 0.03 | 23 | ||
2018-07-26 | 2018-06-30 | 0.28 | 0.32 | 0.04 | 14 |
Digital Realty Target Price Consensus
We track the performance of the top 100 financial experts across various large and mid-size financial boutiques. Digital target price is determined by taking all analyst projections and averaging them out. There is no one specific way to measure analysts' performance other than comparing it to past results via a very sophisticated attribution analysis. Digital Realty's target price projections below should be used in combination with other traditional price prediction techniques such as stock price forecasting, investor sentiment analysis, technical analysis, earnings estimate, and various momentum models.
| 25 | Buy |
Most Digital analysts issue ratings four times a year, at intervals of three months. Ratings are usually accompanied by a target price to help potential investors understand Digital stock's fair price compared to its market value. Analysts arrive at stock ratings after researching the public financial statements of Digital Realty Trust, talking to its executives and customers, or listening to those companies' conference calls.
Macroaxis Advice Exposure ValuationDigital Realty Target Price Projection
Digital Realty's current and average target prices are 145.65 and 126.16, respectively. The current price of Digital Realty is the price at which Digital Realty Trust is currently trading. On the other hand, Digital Realty's target price is what analysts think the stock is worth or could sell for in the future. The more significant the discrepancy between the two prices, the more it stimulates investors to act.Current Price
Digital Realty Market Quote on 26th of July 2024
Target Price
Analyst Consensus On Digital Realty Target Price
Digital Realty Analyst Ratings
Digital Realty's analyst stock recommendations are determined by taking an average estimate of all analysts we track and classifying them as Strong Buy, Buy, Hold, Strong Sell, or Sell. Ratings generally communicate what analysts sense about Digital Realty stock, and they use a lot of effort and time to analyze it and arrive at a rating. That suggests that analyst recommendations are the outcome of an objective and thorough examination of Digital Realty's financials, market performance, and future outlook by experienced professionals. Digital Realty's historical ratings below, therefore, can serve as a valuable tool for investors.Know Digital Realty's Top Institutional Investors
Have you ever been surprised when a price of an equity instrument such as Digital Realty is soaring high without any particular reason? This is usually happening because many institutional investors are aggressively trading Digital Realty Trust backward and forwards among themselves. Digital Realty's institutional investor refers to the entity that pools money to purchase Digital Realty's securities or originate loans. Institutional investors include commercial and private banks, credit unions, insurance companies, pension funds, hedge funds, endowments, and mutual funds. Operating companies that invest excess capital in these types of assets may also be included in the term and may influence corporate governance by exercising voting rights in their investments.
| Shares | Amvescap Plc. | 2024-03-31 | 4.6 M | Legal & General Group Plc | 2024-03-31 | 4.6 M | Principal Financial Group Inc | 2024-03-31 | 4.3 M | Dimensional Fund Advisors, Inc. | 2024-03-31 | 4.3 M | Morgan Stanley - Brokerage Accounts | 2024-03-31 | 4.2 M | Daiwa Securities Group Inc | 2024-03-31 | 4 M | Ubs Asset Mgmt Americas Inc | 2024-03-31 | 3.5 M | Charles Schwab Investment Management Inc | 2024-03-31 | 3.3 M | Northern Trust Corp | 2024-03-31 | 3.3 M | Vanguard Group Inc | 2024-03-31 | 48.5 M | Blackrock Inc | 2024-03-31 | 33.1 M |
Digital Realty's market capitalization trends
The company currently falls under 'Large-Cap' category with a total capitalization of 50.21 B.Market Cap |
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Digital Realty's profitablity analysis
| Last Reported | Projected for Next Year | ||
| Return On Tangible Assets | 0.03 | 0.02 | |
| Return On Capital Employed | 0.02 | 0.02 | |
| Return On Assets | 0.02 | 0.02 | |
| Return On Equity | 0.05 | 0.04 |
Determining Digital Realty's profitability involves analyzing its financial statements and using various financial metrics to determine if Digital Realty is a good buy. For example, gross profit margin measures Digital Realty's profitability after accounting for the cost of goods sold, while net profit margin measures profitability after accounting for all expenses. Other important metrics include return on assets, return on equity, and free cash flow. By reviewing multiple sources and metrics, you can gain a complete picture of Digital Realty's profitability and make more informed investment decisions.
Digital Realty's Earnings Breakdown by Geography
The data published in Digital Realty's official financial statements typically reflect Digital Realty's business processes, product offerings, services, and other fundamental events. However, there are additional fundamental indicators that are easier to understand and visualize along the underlying realities that are driving Digital Realty's quantitative information. For example, before you start analyzing numbers published by Digital accountants, it's essential to understand Digital Realty's liquidity, profitability, and earnings quality within the context of the Specialized REITs space in which it operates.
Please note, the imprecision that can be found in Digital Realty's accounting process means that the reasonable investor should take a skeptical approach toward the financial statement analysis of Digital Realty Trust. Check Digital Realty's Beneish M Score to see the likelihood of Digital Realty's management manipulating its earnings.
Evaluate Digital Realty's management efficiency
As of 07/26/2024, Return On Tangible Assets is likely to drop to 0.02. In addition to that, Return On Capital Employed is likely to drop to 0.02. At this time, Digital Realty's Total Assets are relatively stable compared to the past year. As of 07/26/2024, Non Current Assets Total is likely to grow to about 42.8 B, though Other Current Assets are likely to grow to (2.8 B). Digital Realty's management efficiency ratios could be used to measure how well Digital Realty manages its routine affairs as well as how well it operates its assets and liabilities.| Last Reported | Projected for Next Year | ||
| Book Value Per Share | 64.02 | 67.22 | |
| Tangible Book Value Per Share | 31.00 | 16.82 | |
| Enterprise Value Over EBITDA | 23.75 | 13.76 | |
| Price Book Value Ratio | 2.10 | 1.71 | |
| Enterprise Value Multiple | 23.75 | 13.76 | |
| Price Fair Value | 2.10 | 1.71 | |
| Enterprise Value | 58.3 B | 61.2 B |
The analysis of Digital Realty's management efficiency is an essential part of evaluating and assessing the financial and operational performance of the entity. It is also vital to analyze Digital Realty's future growth prospects and the overall market conditions to determine the value and potential of its stock. The analysis involves studying a range of financial metrics such as revenue, earnings, profit margins, cash flow, debt, market share, and external factors such as economic trends, industry outlook, competition, and government regulations. The goal of Digital Stock analysis is to determine whether it is undervalued, fairly valued, or overvalued and to make informed investment decisions.
Dividend Yield 0.0322 | Forward Dividend Yield 0.0322 | Forward Dividend Rate 4.88 | Beta 0.602 |
Basic technical analysis of Digital Stock
As of the 26th of July, Digital Realty shows the Mean Deviation of 1.1, coefficient of variation of 989.64, and Downside Deviation of 1.5. Digital Realty Trust technical analysis allows you to utilize historical prices and volume patterns in order to determine a pattern that computes the direction of the firm's future prices. Please confirm Digital Realty Trust variance, as well as the relationship between the value at risk and skewness to decide if Digital Realty Trust is priced favorably, providing market reflects its regular price of 145.65 per share. Given that Digital Realty has jensen alpha of 0.0919, we urge you to verify Digital Realty Trust's prevailing market performance to make sure the company can sustain itself at a future point.Digital Realty's insider trading activities
Some recent studies suggest that insider trading raises the cost of capital for securities issuers and decreases overall economic growth. Trading by specific Digital Realty insiders, such as employees or executives, is commonly permitted as long as it does not rely on Digital Realty's material information that is not in the public domain. Local jurisdictions usually require such trading to be reported in order to monitor insider transactions. In many U.S. states, trading conducted by corporate officers, key employees, directors, or significant shareholders must be reported to the regulator or publicly disclosed, usually within a few business days of the trade. In these cases Digital Realty insiders are required to file a Form 4 with the U.S. Securities and Exchange Commission (SEC) when buying or selling shares of their own companies.
Kevin Kennedy over three weeks ago Acquisition by Kevin Kennedy of 1818 shares of Digital Realty subject to Rule 16b-3 | ||
Jean Mandeville over a month ago Acquisition by Jean Mandeville of 1571 shares of Digital Realty subject to Rule 16b-3 | ||
Jeannie Lee over three months ago Disposition of tradable shares by Jeannie Lee of Digital Realty at 134.58 subject to Rule 16b-3 | ||
Robert Zerbst over six months ago Acquisition by Robert Zerbst of 1195 shares of Digital Realty subject to Rule 16b-3 | ||
Trout James over a year ago Exercise or conversion by Trout James of 12153 shares of Digital Realty subject to Rule 16b-3 |
Digital Realty's Outstanding Corporate Bonds
Digital Realty issues bonds to finance its operations. Corporate bonds make up one of the largest components of the U.S. bond market, which is considered the world's largest securities market. Digital Realty Trust uses the proceeds from bond sales for a wide variety of purposes, including financing ongoing mergers and acquisitions, buying new equipment, investing in research and development, buying back their own stock, paying dividends to shareholders, and even refinancing existing debt. Most Digital bonds can be classified according to their maturity, which is the date when Digital Realty Trust has to pay back the principal to investors. Maturities can be short-term, medium-term, or long-term (more than ten years). Longer-term bonds usually offer higher interest rates but may entail additional risks.
| DIGITAL RLTY TR Corp BondUS25389JAR77 | View | |
| DIGITAL REALTY TRUST Corp BondUS25389JAU07 | View | |
| DIGITAL RLTY TR Corp BondUS25389JAT34 | View | |
| DLR 555 15 JAN 28 Corp BondUS25389JAV89 | View | |
| CVS Health Corp Corp BondUS126650DE72 | View | |
| MGM Resorts International Corp BondUS552953CD18 | View |
Understand Digital Realty's technical and predictive indicators
Using predictive indicators to make investment decisions involves analyzing Digital Realty's various financial and market-based factors to help forecast future trends and identify investment opportunities. Select the indicators that are most relevant to your investment strategy. Each indicator has its own strengths and weaknesses, so it's essential to combine multiple indicators to get a more comprehensive view of the market and reduce the risk of making poor decisions based on limited data.
| Risk Adjusted Performance | 0.0718 | |||
| Market Risk Adjusted Performance | 0.1885 | |||
| Mean Deviation | 1.1 | |||
| Semi Deviation | 1.37 | |||
| Downside Deviation | 1.5 | |||
| Coefficient Of Variation | 989.64 | |||
| Standard Deviation | 1.44 | |||
| Variance | 2.09 | |||
| Information Ratio | 0.0541 | |||
| Jensen Alpha | 0.0919 | |||
| Total Risk Alpha | 0.0086 | |||
| Sortino Ratio | 0.0522 | |||
| Treynor Ratio | 0.1785 | |||
| Maximum Drawdown | 8.27 | |||
| Value At Risk | (2.50) | |||
| Potential Upside | 1.97 | |||
| Downside Variance | 2.24 | |||
| Semi Variance | 1.86 | |||
| Expected Short fall | (1.12) | |||
| Skewness | (0.0003) | |||
| Kurtosis | 1.13 |
| Risk Adjusted Performance | 0.0718 | |||
| Market Risk Adjusted Performance | 0.1885 | |||
| Mean Deviation | 1.1 | |||
| Semi Deviation | 1.37 | |||
| Downside Deviation | 1.5 | |||
| Coefficient Of Variation | 989.64 | |||
| Standard Deviation | 1.44 | |||
| Variance | 2.09 | |||
| Information Ratio | 0.0541 | |||
| Jensen Alpha | 0.0919 | |||
| Total Risk Alpha | 0.0086 | |||
| Sortino Ratio | 0.0522 | |||
| Treynor Ratio | 0.1785 | |||
| Maximum Drawdown | 8.27 | |||
| Value At Risk | (2.50) | |||
| Potential Upside | 1.97 | |||
| Downside Variance | 2.24 | |||
| Semi Variance | 1.86 | |||
| Expected Short fall | (1.12) | |||
| Skewness | (0.0003) | |||
| Kurtosis | 1.13 |
Consider Digital Realty's intraday indicators
Digital Realty intraday indicators are useful technical analysis tools used by many experienced traders. Just like the conventional technical analysis, daily indicators help intraday investors to analyze the price movement with the timing of Digital Realty stock daily movement. By combining multiple daily indicators into a single trading strategy, you can limit your risk while still earning strong returns on your managed positions.
| Accumulation Distribution | 118198.0 | |||
| Daily Balance Of Power | (0.32) | |||
| Rate Of Daily Change | 0.99 | |||
| Day Median Price | 143.7 | |||
| Day Typical Price | 144.35 | |||
| Price Action Indicator | 1.09 | |||
| Period Momentum Indicator | (1.72) |
Digital Realty Corporate Filings
8K | 25th of July 2024 Report filed with the SEC to announce major events that shareholders should know about | ViewVerify |
F4 | 2nd of July 2024 The report filed by a party regarding the acquisition or disposition of a company's common stock, as well as derivative securities such as options, warrants, and convertible securities | ViewVerify |
| 9th of May 2024 Other Reports | ViewVerify | |
10Q | 3rd of May 2024 Quarterly performance report mandated by Securities and Exchange Commission (SEC), to be filed by publicly traded corporations | ViewVerify |
Digital Stock media impact
Far too much social signal, news, headlines, and media speculation about Digital Realty that are available to investors today. That information is available publicly through Digital media outlets and privately through word of mouth or via Digital internal channels. However, regardless of the origin, that massive amount of Digital data is challenging to quantify into actionable patterns, especially for investors that are not very sophisticated with ever-evolving tools and techniques used in the investment management field.
A primary focus of Digital Realty news analysis is to determine if its current price reflects all relevant headlines and social signals impacting the current market conditions. A news analyst typically looks at the history of Digital Realty relative headlines and hype rather than examining external drivers such as technical or fundamental data. It is believed that price action tends to repeat itself due to investors' collective, patterned thinking related to Digital Realty's headlines and news coverage data. This data is often completely overlooked or insufficiently analyzed for actionable insights to drive Digital Realty alpha.
Digital Realty Sentiment by Major News Outlets
Investor sentiment, mood or attitude towards Digital Realty can have a significant impact on its stock price or the market as a whole. This sentiment can be positive or negative, and various factors, such as economic indicators, news events, or market trends, can influence it. When investor sentiment is positive, investors are more likely to buy stocks, increasing demand and increasing the stock price. Positive investor sentiment can be driven by good news about the company or the broader market, such as solid earnings reports or positive economic data.
Note that negative investor sentiment can cause investors to sell stocks, leading to a decrease in demand and a drop in the stock price. Negative sentiment can be driven by factors such as poor earnings reports, negative news about the company or industry, or broader economic concerns. It's important to note that investor sentiment is just one of many factors that can affect stock prices. Other factors, such as company performance, industry trends, and global economic conditions, can also play a significant role in determining the value of a stock.
Digital Realty Trust Historical Investor Sentiment
Investor biases related to Digital Realty's public news can be used to forecast risks associated with an investment in Digital. The trend in average sentiment can be used to explain how an investor holding Digital can time the market purely based on public headlines and social activities around Digital Realty Trust. Please note that most equities that are difficult to arbitrage are affected by market sentiment the most.
Digital Realty's market sentiment shows the aggregated news analyzed to detect positive and negative mentions from the text and comments. The data is normalized to provide daily scores for Digital Realty and other traded tickers. The bigger the bubble, the more accurate the estimated score. Higher bars for a given day show more participation in the average Digital Realty news discussions. The higher the estimate score, the more favorable the investor's outlook on Digital Realty.
Digital Realty Maximum Pain Price across 2024-07-26 Option Contracts
Digital Realty's options can also be used to analyze investors' bias and current market sentiment in the context of behavioral finance. For example, Max pain usually refers to a trading concept that asserts that market manipulation can cause the market price of Digital Realty close to the expiration of its current option contract to expire worthlessly. According to most research, about 35% of options are not executed, with roughly 50% traded out before expiration. So, Max pain occurs when market makers reach a net favorable position across all options at a strike price where option holders stand to lose the most money. By contrast, option sellers may reap the most after selling more options than buying, causing them to expire worthlessly. Please continue to view the detailed analysis of Digital Realty's options.
Digital Realty Corporate Directors
| Mary Preusse | Independent Director | Profile | |
| William LaPerch | Independent Director | Profile | |
| Afshin Mohebbi | Independent Director | Profile | |
| Michael Coke | Independent Director | Profile |
Additional Tools for Digital Stock Analysis
When running Digital Realty's price analysis, check to measure Digital Realty's market volatility, profitability, liquidity, solvency, efficiency, growth potential, financial leverage, and other vital indicators. We have many different tools that can be utilized to determine how healthy Digital Realty is operating at the current time. Most of Digital Realty's value examination focuses on studying past and present price action to predict the probability of Digital Realty's future price movements. You can analyze the entity against its peers and the financial market as a whole to determine factors that move Digital Realty's price. Additionally, you may evaluate how the addition of Digital Realty to your portfolios can decrease your overall portfolio volatility.