DIGITAL REALTY TRUST INC (DLR) Stock Fundamental Analysis
USA - New York Stock Exchange - NYSE:DLR - US2538681030 - REIT
153.51 USD
+3.52 (+2.35%)
153.51 USD
0 (0%)
Overall DLR gets a fundamental rating of 4 out of 10. We evaluated DLR against 30 industry peers in the Specialized REITs industry. DLR may be in some trouble as it scores bad on both profitability and health. DLR is quite expensive at the moment. It does show a decent growth rate.
1. Profitability
1.1 Basic Checks
In the past year DLR was profitable.
In the past year DLR had a positive cash flow from operations.
In the past 5 years DLR has always been profitable.
DLR had a positive operating cash flow in each of the past 5 years.
1.2 Ratios
Looking at the Return On Assets, with a value of 2.79%, DLR is in line with its industry, outperforming 56.67% of the companies in the same industry.
With a Return On Equity value of 5.90%, DLR perfoms like the industry average, outperforming 56.67% of the companies in the same industry.
DLR has a Return On Invested Capital of 1.52%. This is in the lower half of the industry: DLR underperforms 73.33% of its industry peers.
The Average Return On Invested Capital over the past 3 years for DLR is below the industry average of 4.78%.
The last Return On Invested Capital (1.52%) for DLR is above the 3 year average (1.29%), which is a sign of increasing profitability.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 2.79% | ||
| ROE | 5.9% | ||
| ROIC | 1.52% |
ROA(3y)1.37%
ROA(5y)1.89%
ROE(3y)3.1%
ROE(5y)4.02%
ROIC(3y)1.29%
ROIC(5y)1.46%
1.3 Margins
The Profit Margin of DLR (22.98%) is comparable to the rest of the industry.
DLR's Profit Margin has declined in the last couple of years.
Looking at the Operating Margin, with a value of 14.39%, DLR is doing worse than 80.00% of the companies in the same industry.
In the last couple of years the Operating Margin of DLR has declined.
DLR has a Gross Margin of 58.06%. This is in the lower half of the industry: DLR underperforms 66.67% of its industry peers.
In the last couple of years the Gross Margin of DLR has declined.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 14.39% | ||
| PM (TTM) | 22.98% | ||
| GM | 58.06% |
OM growth 3Y-15.96%
OM growth 5Y-12.23%
PM growth 3Y-35.66%
PM growth 5Y-8.02%
GM growth 3Y-3.09%
GM growth 5Y-1.79%
2. Health
2.1 Basic Checks
DLR has a Return on Invested Capital (ROIC), which is below the Cost of Capital (WACC), which means it is destroying value.
Compared to 1 year ago, DLR has more shares outstanding
The number of shares outstanding for DLR has been increased compared to 5 years ago.
DLR has a better debt/assets ratio than last year.
2.2 Solvency
DLR has an Altman-Z score of 1.25. This is a bad value and indicates that DLR is not financially healthy and even has some risk of bankruptcy.
Looking at the Altman-Z score, with a value of 1.25, DLR is in the better half of the industry, outperforming 66.67% of the companies in the same industry.
A Debt/Equity ratio of 0.79 indicates that DLR is somewhat dependend on debt financing.
The Debt to Equity ratio of DLR (0.79) is better than 80.00% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.79 | ||
| Debt/FCF | N/A | ||
| Altman-Z | 1.25 |
ROIC/WACC0.21
WACC7.21%
2.3 Liquidity
A Current Ratio of 1.25 indicates that DLR should not have too much problems paying its short term obligations.
DLR has a Current ratio of 1.25. This is in the better half of the industry: DLR outperforms 76.67% of its industry peers.
A Quick Ratio of 1.25 indicates that DLR should not have too much problems paying its short term obligations.
With a decent Quick ratio value of 1.25, DLR is doing good in the industry, outperforming 76.67% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.25 | ||
| Quick Ratio | 1.25 |
3. Growth
3.1 Past
The Earnings Per Share has grown by an impressive 225.21% over the past year.
DLR shows a decrease in Earnings Per Share. Measured over the last years, the EPS has been decreasing by -7.17% yearly.
Looking at the last year, DLR shows a small growth in Revenue. The Revenue has grown by 7.75% in the last year.
The Revenue has been growing by 11.60% on average over the past years. This is quite good.
EPS 1Y (TTM)225.21%
EPS 3Y-35.08%
EPS 5Y-7.17%
EPS Q2Q%66.67%
Revenue 1Y (TTM)7.75%
Revenue growth 3Y7.85%
Revenue growth 5Y11.6%
Sales Q2Q%10.2%
3.2 Future
Based on estimates for the next years, DLR will show a very strong growth in Earnings Per Share. The EPS will grow by 38.15% on average per year.
Based on estimates for the next years, DLR will show a quite strong growth in Revenue. The Revenue will grow by 10.05% on average per year.
EPS Next Y130.28%
EPS Next 2Y6.64%
EPS Next 3Y12.95%
EPS Next 5Y38.15%
Revenue Next Year8.09%
Revenue Next 2Y9.42%
Revenue Next 3Y9.99%
Revenue Next 5Y10.05%
3.3 Evolution
When comparing the EPS growth rate of the last years to the growth rate of the upcoming years, we see that the growth is accelerating.
The Revenue growth rate is stable: in the next years the growth will be about the same than in the last years.
4. Valuation
4.1 Price/Earnings Ratio
DLR is valuated quite expensively with a Price/Earnings ratio of 39.67.
Compared to the rest of the industry, the Price/Earnings ratio of DLR is on the same level as its industry peers.
DLR is valuated rather expensively when we compare the Price/Earnings ratio to 26.61, which is the current average of the S&P500 Index.
The Price/Forward Earnings ratio is 83.32, which means the current valuation is very expensive for DLR.
Based on the Price/Forward Earnings ratio, DLR is valued a bit more expensive than the industry average as 66.67% of the companies are valued more cheaply.
When comparing the Price/Forward Earnings ratio of DLR to the average of the S&P500 Index (24.01), we can say DLR is valued expensively.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 39.67 | ||
| Fwd PE | 83.32 |
4.2 Price Multiples
Compared to the rest of the industry, the Enterprise Value to EBITDA ratio of DLR indicates a rather expensive valuation: DLR more expensive than 80.00% of the companies listed in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | N/A | ||
| EV/EBITDA | 24.99 |
4.3 Compensation for Growth
The low PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a rather cheap valuation of the company.
DLR's earnings are expected to grow with 12.95% in the coming years. This may justify a more expensive valuation.
PEG (NY)0.3
PEG (5Y)N/A
EPS Next 2Y6.64%
EPS Next 3Y12.95%
5. Dividend
5.1 Amount
DLR has a Yearly Dividend Yield of 3.30%.
With a Dividend Yield of 3.30, DLR pays less dividend than the industry average, which is at 5.78. 80.00% of the companies listed in the same industry pay a better dividend than DLR!
Compared to an average S&P500 Dividend Yield of 1.87, DLR pays a better dividend.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 3.3% |
5.2 History
The dividend of DLR has a limited annual growth rate of 0.96%.
DLR has been paying a dividend for at least 10 years, so it has a reliable track record.
DLR has not decreased their dividend for at least 10 years, which is a reliable track record.
Dividend Growth(5Y)0.96%
Div Incr Years0
Div Non Decr Years20
5.3 Sustainability
127.21% of the earnings are spent on dividend by DLR. This is not a sustainable payout ratio.
DLR's earnings are growing more than its dividend. This makes the dividend growth sustainable.
DP127.21%
EPS Next 2Y6.64%
EPS Next 3Y12.95%
153.51
+3.52 (+2.35%)
Chartmill FA Rating
GICS SectorReal Estate
GICS IndustryGroupEquity Real Estate Investment Trusts (REITs)
GICS IndustrySpecialized REITs
Earnings (Last)
Earnings (Next)
Inst Owners101.38%
Inst Owner Change2.57%
Ins Owners0.01%
Ins Owner Change-0.02%
Market Cap52.73B
Revenue(TTM)5.91B
Net Income(TTM)1.36B
Analysts78.82
Price Target202.49 (31.91%)
Short Float %2.88%
Short Ratio5.52
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 3.3% |
Yearly Dividend5.04
Dividend Growth(5Y)0.96%
DP127.21%
Div Incr Years0
Div Non Decr Years20
Ex-Date
Surprises & Revisions
EPS beat(2)1
Avg EPS beat(2)301.72%
Min EPS beat(2)-55.09%
Max EPS beat(2)658.54%
EPS beat(4)2
Avg EPS beat(4)171.24%
Min EPS beat(4)-55.09%
Max EPS beat(4)658.54%
EPS beat(8)3
Avg EPS beat(8)93.11%
EPS beat(12)4
Avg EPS beat(12)49.48%
EPS beat(16)6
Avg EPS beat(16)105.14%
Revenue beat(2)2
Avg Revenue beat(2)2.21%
Min Revenue beat(2)2.2%
Max Revenue beat(2)2.22%
Revenue beat(4)2
Avg Revenue beat(4)-0.12%
Min Revenue beat(4)-2.65%
Max Revenue beat(4)2.22%
Revenue beat(8)2
Avg Revenue beat(8)-0.9%
Revenue beat(12)3
Avg Revenue beat(12)-1.05%
Revenue beat(16)3
Avg Revenue beat(16)-1.05%
PT rev (1m)0.17%
PT rev (3m)1.62%
EPS NQ rev (1m)-3.95%
EPS NQ rev (3m)0.77%
EPS NY rev (1m)-0.31%
EPS NY rev (3m)18.94%
Revenue NQ rev (1m)-0.06%
Revenue NQ rev (3m)1.15%
Revenue NY rev (1m)-0.05%
Revenue NY rev (3m)1.08%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 39.67 | ||
| Fwd PE | 83.32 | ||
| P/S | 8.92 | ||
| P/FCF | N/A | ||
| P/OCF | 21.41 | ||
| P/B | 2.29 | ||
| P/tB | 4.67 | ||
| EV/EBITDA | 24.99 |
EPS(TTM)3.87
EY2.52%
EPS(NY)1.84
Fwd EY1.2%
FCF(TTM)-1.32
FCFYN/A
OCF(TTM)7.17
OCFY4.67%
SpS17.22
BVpS67.03
TBVpS32.88
PEG (NY)0.3
PEG (5Y)N/A
Graham Number76.4
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 2.79% | ||
| ROE | 5.9% | ||
| ROCE | 1.92% | ||
| ROIC | 1.52% | ||
| ROICexc | 1.64% | ||
| ROICexgc | 2.33% | ||
| OM | 14.39% | ||
| PM (TTM) | 22.98% | ||
| GM | 58.06% | ||
| FCFM | N/A |
ROA(3y)1.37%
ROA(5y)1.89%
ROE(3y)3.1%
ROE(5y)4.02%
ROIC(3y)1.29%
ROIC(5y)1.46%
ROICexc(3y)1.35%
ROICexc(5y)1.5%
ROICexgc(3y)1.99%
ROICexgc(5y)2.26%
ROCE(3y)1.63%
ROCE(5y)1.85%
ROICexgc growth 3Y-14.91%
ROICexgc growth 5Y-11.74%
ROICexc growth 3Y-13.59%
ROICexc growth 5Y-12.59%
OM growth 3Y-15.96%
OM growth 5Y-12.23%
PM growth 3Y-35.66%
PM growth 5Y-8.02%
GM growth 3Y-3.09%
GM growth 5Y-1.79%
F-Score8
Asset Turnover0.12
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.79 | ||
| Debt/FCF | N/A | ||
| Debt/EBITDA | 6.73 | ||
| Cap/Depr | 156.98% | ||
| Cap/Sales | 49.28% | ||
| Interest Coverage | 2.35 | ||
| Cash Conversion | 90.96% | ||
| Profit Quality | N/A | ||
| Current Ratio | 1.25 | ||
| Quick Ratio | 1.25 | ||
| Altman-Z | 1.25 |
F-Score8
WACC7.21%
ROIC/WACC0.21
Cap/Depr(3y)178.45%
Cap/Depr(5y)186.27%
Cap/Sales(3y)57.23%
Cap/Sales(5y)61.57%
Profit Quality(3y)N/A
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)225.21%
EPS 3Y-35.08%
EPS 5Y-7.17%
EPS Q2Q%66.67%
EPS Next Y130.28%
EPS Next 2Y6.64%
EPS Next 3Y12.95%
EPS Next 5Y38.15%
Revenue 1Y (TTM)7.75%
Revenue growth 3Y7.85%
Revenue growth 5Y11.6%
Sales Q2Q%10.2%
Revenue Next Year8.09%
Revenue Next 2Y9.42%
Revenue Next 3Y9.99%
Revenue Next 5Y10.05%
EBIT growth 1Y45.74%
EBIT growth 3Y-9.36%
EBIT growth 5Y-2.05%
EBIT Next Year498.79%
EBIT Next 3Y94.14%
EBIT Next 5Y58.03%
FCF growth 1Y73.84%
FCF growth 3YN/A
FCF growth 5YN/A
OCF growth 1Y51.19%
OCF growth 3Y9.93%
OCF growth 5Y8.36%
DIGITAL REALTY TRUST INC / DLR FAQ
Can you provide the ChartMill fundamental rating for DIGITAL REALTY TRUST INC?
ChartMill assigns a fundamental rating of 4 / 10 to DLR.
Can you provide the valuation status for DIGITAL REALTY TRUST INC?
ChartMill assigns a valuation rating of 2 / 10 to DIGITAL REALTY TRUST INC (DLR). This can be considered as Overvalued.
How profitable is DIGITAL REALTY TRUST INC (DLR) stock?
DIGITAL REALTY TRUST INC (DLR) has a profitability rating of 3 / 10.
What is the valuation of DIGITAL REALTY TRUST INC based on its PE and PB ratios?
The Price/Earnings (PE) ratio for DIGITAL REALTY TRUST INC (DLR) is 39.67 and the Price/Book (PB) ratio is 2.29.
Is the dividend of DIGITAL REALTY TRUST INC sustainable?
The dividend rating of DIGITAL REALTY TRUST INC (DLR) is 5 / 10 and the dividend payout ratio is 127.21%.