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Digital Realty Trust, Inc. (DLR)

Real Estate Balanced

Digital Realty is a global landlord that owns and operates the massive, secure buildings that house the servers powering the internet and cloud computing.

$188.52

Is Digital Realty Trust, Inc. a good stock for a UK beginner?

The honest version: Digital Realty is a global landlord that owns and operates the massive, secure buildings that house the servers powering the internet and cloud computing.

No rating · no target price · nothing for sale here
Price+23.8%
Priced in USD - as a UK investor your £ return also moves with the pound-to-dollar exchange rate, on top of the share price itself.
52-week range+11% past year
$188.52
Low $146.23High $208.14
Where today's price sits versus its past year - context, not a signal.
If you had put $1,000 into Digital Realty Trust, Inc.
$1,238+24%

Over about 2 years to 2026-07-31. This is the share price only - reinvesting the dividends would add to it. And it's the USD return - as a UK investor your actual £ return also moves with the exchange rate. Past performance is not a guide to the future, and it could just as easily have fallen.

Market cap: The company's total value on the stock market - share price times the number of shares. Big = 'large-cap', small = 'small-cap'.
$70.93B
Avg volume: How many shares change hands on a typical day. Higher means it's easy to buy or exit without moving the price.
2.92M
Day range: The lowest and highest price the shares traded at during the latest day.
$188.39 – $195.88
52-week range: The lowest and highest the shares have traded over the past year - a sense of how wide the swings have been.
$146.23 – $208.14
P/E ratio: Price-to-earnings: the share price divided by yearly profit per share. Lower can mean cheaper; higher often means investors expect fast growth.
94.3
Dividend yield: The yearly dividend as a percentage of the share price - roughly the income you'd earn from dividends alone.
2.6%
Beta: How bumpy the share price is versus the whole market. Above 1 swings more than the market; below 1 is calmer. It's about the ride, not whether it goes up or down.
1.05
How bumpy is it?Beta: How bumpy the share price is versus the whole market. Above 1 swings more than the market; below 1 is calmer. It's about the ride, not whether it goes up or down. 1.05
Calm
Wild
Roughly in step with the market

Based on beta - how much the price swings versus the whole market. Bumpier isn't bad; it just means a rougher ride, which matters more the sooner you might need the money.

Why has it been moving?▲ +11% past week · ▲ +11% past year

Prices move on results, news and the mood of the whole market - no single headline explains a day, and a quiet week is usually just noise, not a signal.

The bull case

Digital Realty becomes the primary infrastructure provider for the AI economy.

The bear case

Technological shifts make current data centre designs obsolete.

What does Digital Realty Trust, Inc. do?

Think of Digital Realty as a high-tech property developer; instead of offices or shops, they build and manage 'data centres' where companies like tech giants and banks store their digital information. Its profits come from leasing this space, along with the necessary power and cooling systems, to clients on long-term contracts. What really moves the needle here is how they manage the massive electricity costs and capital investment required to keep these facilities running as the demand for AI and cloud services grows.

VQGMI
Factor profile

On our factor screen it looks strongest on momentum and quality, and weakest on value.

Value: How cheap the stock looks versus profits, sales and assets (higher = cheaper). 16Quality: How profitable and financially healthy the company is (higher = stronger). 46Growth: How fast revenue and earnings are growing (higher = faster). 44Momentum: How the share price has been trending recently (higher = stronger recent run). 59Income: The dividend income on offer and how sustainable it looks (higher = more/steadier). 40
Quick checks
What's strong
  • Essential infrastructure for the modern digital economy
  • Strong revenue growth driven by cloud demand
  • Reliable income stream through dividend payments
What to watch
  • Value screens low (16/100)
  • Massive energy consumption makes them sensitive to electricity price spikes
  • Potential for oversupply of data centre space in certain regions
  • Rapid changes in server technology could require costly facility upgrades

What do Digital Realty Trust, Inc.'s numbers mean?

Dividend yield
2.7%
This is the annual cash payout to shareholders as a percentage of the share price, acting as a regular income stream for investors.
Gross margin
55.3%
This indicates that for every pound of revenue, over half remains after paying the direct costs of running the data centres, showing a healthy core business.
Beta
1.1
A number slightly above 1 means the share price tends to move in the same direction as the wider market, but with slightly more intensity.

How much money does Digital Realty Trust, Inc. make?

Revenue and profit by quarter, and how much of each sale turns into profit.

RevenueNet income
$0$408.79M$817.59M$1.23B$1.64BQ1 25Q2 25Q3 25Q4 25Q1 26
Gross margin
57.0%
Net margin
11.8%
Return on equity
2.9%

Does Digital Realty Trust, Inc. pay a dividend?

Yes - Digital Realty Trust, Inc. currently pays a dividend of about 2.6% a year (the yearly payout as a share of the price). A dividend is a slice of profit handed to shareholders; the yield moves as the price moves, and a company can cut or stop it.

When does Digital Realty Trust, Inc. report earnings, and how did recent quarters go?

Digital Realty Trust, Inc. is next scheduled to report on about 2026-10-22 - dates can move, and we don't predict results; this just tells you when to look.

Each quarter a company reports its results against what analysts expected. ‘Beating’ or ‘missing’ is about that expectation, not whether the business is doing well in absolute terms.

ReportedExpected EPS: The earnings per share analysts expected for the quarter - the average of their forecasts. 'Beating' or 'missing' is measured against this number.Actual EPSvs expected
2026-07-23$0.73$0.62Missed -15%
2026-04-23$0.45$0.46Beat +3%
2026-02-05$0.39$0.40Beat +2%
2025-10-23$0.23$0.34Beat +47%
2025-07-24$0.31$0.39Beat +26%
2025-04-24$0.24$0.38Beat +59%

Across the last 6 quarters here, Digital Realty Trust, Inc. came in ahead of what analysts expected 5 times. One quarter is noise, not a trend.

See who else reports over the next two weeks →

Reported vs expected earnings per share (EPS) from published results; the expectation is the analyst consensus, not our view. Report dates are estimates that can move.

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What are the scenarios for Digital Realty Trust, Inc.?

An illustrative range for the year ahead, with the assumption behind each case — not a prediction or a price target.

$212$189$144today · $189▲ Bull · $203• Base · $189▼ Bear · $174in 1 yearILLUSTRATIVE · NOT A PREDICTION OR PRICE TARGET
Bull
+5% to +10%Increased demand for AI infrastructure boosts short-term leasing activity.
Base
-2% to +2%Steady contract renewals maintain current revenue levels.
Bear
-5% to -10%Rising interest rates increase the cost of borrowing for new developments.

What are the pros and cons of Digital Realty Trust, Inc.?

4bull points
6bear points

How many points the write-up makes each way — a balance check, not a score or verdict.

The bull case4
  • Essential infrastructure for the modern digital economy
  • Strong revenue growth driven by cloud demand
  • Reliable income stream through dividend payments
  • High gross margins indicate efficient operations
The catch3
  • High valuation multiples suggest high expectations
  • Significant debt required to fund expensive building projects
  • Vulnerable to rising interest rates which increase borrowing costs
Key risks3
  • Massive energy consumption makes them sensitive to electricity price spikes
  • Potential for oversupply of data centre space in certain regions
  • Rapid changes in server technology could require costly facility upgrades
What would flip the thesis

The write-up's own warning lights — if these start happening, the case above changes.

Confidence: medium · data: USD · flags: none · Charts by TradingView Lightweight Charts™
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Built from public filings & market prices, checked for an education-only tone, and never a price target. How we make these →

This plain-English summary was auto-generated on 2026-08-01 from public data and checked for an education-only, no-advice tone (the figures above carry their own, usually fresher, 'as of' date). It's information, never a recommendation.

Figures as of 2026-08-01. Prices may be delayed and numbers can go stale - always double-check before acting.