DIGITAL REALTY TRUST INC (DLR) Stock Fundamental Analysis
USA - NYSE:DLR - US2538681030 - REIT
171.88 USD
+0.32 (+0.19%)
171.88 USD
0 (0%)
Overall DLR gets a fundamental rating of 4 out of 10. We evaluated DLR against 29 industry peers in the Specialized REITs industry. DLR has a medium profitability rating, but doesn't score so well on its financial health evaluation. 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.
Each year in the past 5 years DLR has been profitable.
In the past 5 years DLR always reported a positive cash flow from operatings.
1.2 Ratios
Looking at the Return On Assets, with a value of 2.76%, DLR is in line with its industry, outperforming 58.62% of the companies in the same industry.
DLR has a Return On Equity of 5.86%. This is comparable to the rest of the industry: DLR outperforms 55.17% of its industry peers.
DLR has a Return On Invested Capital of 1.46%. This is in the lower half of the industry: DLR underperforms 75.86% of its industry peers.
DLR had an Average Return On Invested Capital over the past 3 years of 1.29%. This is below the industry average of 4.79%.
The last Return On Invested Capital (1.46%) for DLR is above the 3 year average (1.29%), which is a sign of increasing profitability.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 2.76% | ||
| ROE | 5.86% | ||
| ROIC | 1.46% |
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
With a decent Profit Margin value of 23.27%, DLR is doing good in the industry, outperforming 65.52% of the companies in the same industry.
In the last couple of years the Profit Margin of DLR has declined.
The Operating Margin of DLR (14.19%) is worse than 82.76% of its industry peers.
In the last couple of years the Operating Margin of DLR has declined.
With a Gross Margin value of 57.91%, DLR is not doing good in the industry: 68.97% of the companies in the same industry are doing better.
DLR's Gross Margin has declined in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 14.19% | ||
| PM (TTM) | 23.27% | ||
| GM | 57.91% |
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
The Return on Invested Capital (ROIC) is below the Cost of Capital (WACC), so DLR is destroying value.
DLR has more shares outstanding than it did 1 year ago.
The number of shares outstanding for DLR has been increased compared to 5 years ago.
Compared to 1 year ago, DLR has an improved debt to assets ratio.
2.2 Solvency
DLR has an Altman-Z score of 1.40. This is a bad value and indicates that DLR is not financially healthy and even has some risk of bankruptcy.
DLR has a Altman-Z score of 1.40. This is in the better half of the industry: DLR outperforms 68.97% of its industry peers.
A Debt/Equity ratio of 0.81 indicates that DLR is somewhat dependend on debt financing.
DLR's Debt to Equity ratio of 0.81 is fine compared to the rest of the industry. DLR outperforms 79.31% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.81 | ||
| Debt/FCF | N/A | ||
| Altman-Z | 1.4 |
ROIC/WACC0.2
WACC7.2%
2.3 Liquidity
A Current Ratio of 1.35 indicates that DLR should not have too much problems paying its short term obligations.
The Current ratio of DLR (1.35) is better than 65.52% of its industry peers.
DLR has a Quick Ratio of 1.35. This is a normal value and indicates that DLR is financially healthy and should not expect problems in meeting its short term obligations.
DLR has a better Quick ratio (1.35) than 65.52% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.35 | ||
| Quick Ratio | 1.35 |
3. Growth
3.1 Past
DLR shows a strong growth in Earnings Per Share. In the last year, the EPS has been growing by 222.88%, which is quite impressive.
The Earnings Per Share has been decreasing by -7.17% on average over the past years.
Looking at the last year, DLR shows a small growth in Revenue. The Revenue has grown by 5.64% in the last year.
Measured over the past years, DLR shows a quite strong growth in Revenue. The Revenue has been growing by 11.60% on average per year.
EPS 1Y (TTM)222.88%
EPS 3Y-35.08%
EPS 5Y-7.17%
EPS Q2Q%1370%
Revenue 1Y (TTM)5.64%
Revenue growth 3Y7.85%
Revenue growth 5Y11.6%
Sales Q2Q%10.05%
3.2 Future
The Earnings Per Share is expected to grow by 36.50% on average over the next years. This is a very strong growth
DLR is expected to show quite a strong growth in Revenue. In the coming years, the Revenue will grow by 9.41% yearly.
EPS Next Y120.63%
EPS Next 2Y4.31%
EPS Next 3Y10.59%
EPS Next 5Y36.5%
Revenue Next Year6.94%
Revenue Next 2Y8.96%
Revenue Next 3Y9.63%
Revenue Next 5Y9.41%
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
With a Price/Earnings ratio of 45.11, DLR can be considered very expensive at the moment.
Compared to the rest of the industry, the Price/Earnings ratio of DLR is on the same level as its industry peers.
The average S&P500 Price/Earnings ratio is at 27.50. DLR is valued rather expensively when compared to this.
The Price/Forward Earnings ratio is 97.50, which means the current valuation is very expensive for DLR.
68.97% of the companies in the same industry are cheaper than DLR, based on the Price/Forward Earnings ratio.
DLR's Price/Forward Earnings ratio indicates a rather expensive valuation when compared to the S&P500 average which is at 22.99.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 45.11 | ||
| Fwd PE | 97.5 |
4.2 Price Multiples
89.66% of the companies in the same industry are cheaper than DLR, based on the Enterprise Value to EBITDA ratio.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | N/A | ||
| EV/EBITDA | 27.83 |
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.
PEG (NY)0.37
PEG (5Y)N/A
EPS Next 2Y4.31%
EPS Next 3Y10.59%
5. Dividend
5.1 Amount
With a Yearly Dividend Yield of 2.79%, DLR has a reasonable but not impressive dividend return.
With a Dividend Yield of 2.79, DLR pays less dividend than the industry average, which is at 6.13. 82.76% of the companies listed in the same industry pay a better dividend than DLR!
DLR's Dividend Yield is comparable with the S&P500 average which is at 2.44.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 2.79% |
5.2 History
The dividend of DLR has a limited annual growth rate of 0.96%.
DLR has paid a dividend for at least 10 years, which is 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
DLR pays out 127.47% of its income as dividend. This is not a sustainable payout ratio.
The dividend of DLR is growing, but earnings are growing more, so the dividend growth is sustainable.
DP127.47%
EPS Next 2Y4.31%
EPS Next 3Y10.59%
171.88
+0.32 (+0.19%)
Chartmill FA Rating
GICS SectorReal Estate
GICS IndustryGroupEquity Real Estate Investment Trusts (REITs)
GICS IndustrySpecialized REITs
Earnings (Last)
Earnings (Next)
Inst Owners99.45%
Inst Owner Change0.02%
Ins Owners0.01%
Ins Owner Change0.17%
Market Cap58.62B
Analysts77.5
Price Target199.27 (15.94%)
Short Float %2.34%
Short Ratio5.14
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 2.79% |
Yearly Dividend5.04
Dividend Growth(5Y)0.96%
DP127.47%
Div Incr Years0
Div Non Decr Years20
Ex-Date
Surprises & Revisions
EPS beat(2)1
Avg EPS beat(2)325.59%
Min EPS beat(2)-7.36%
Max EPS beat(2)658.54%
EPS beat(4)2
Avg EPS beat(4)167.87%
Min EPS beat(4)-68.6%
Max EPS beat(4)658.54%
EPS beat(8)3
Avg EPS beat(8)91.49%
EPS beat(12)5
Avg EPS beat(12)65.36%
EPS beat(16)7
Avg EPS beat(16)113.32%
Revenue beat(2)1
Avg Revenue beat(2)-0.02%
Min Revenue beat(2)-2.25%
Max Revenue beat(2)2.2%
Revenue beat(4)1
Avg Revenue beat(4)-0.95%
Min Revenue beat(4)-2.65%
Max Revenue beat(4)2.2%
Revenue beat(8)1
Avg Revenue beat(8)-1.25%
Revenue beat(12)2
Avg Revenue beat(12)-1.29%
Revenue beat(16)3
Avg Revenue beat(16)-1.05%
PT rev (1m)0%
PT rev (3m)4.14%
EPS NQ rev (1m)0%
EPS NQ rev (3m)-8.48%
EPS NY rev (1m)13.96%
EPS NY rev (3m)150.98%
Revenue NQ rev (1m)0%
Revenue NQ rev (3m)2.25%
Revenue NY rev (1m)0%
Revenue NY rev (3m)1.82%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 45.11 | ||
| Fwd PE | 97.5 | ||
| P/S | 10.16 | ||
| P/FCF | N/A | ||
| P/OCF | 24.67 | ||
| P/B | 2.56 | ||
| P/tB | 5.28 | ||
| EV/EBITDA | 27.83 |
EPS(TTM)3.81
EY2.22%
EPS(NY)1.76
Fwd EY1.03%
FCF(TTM)-1.85
FCFYN/A
OCF(TTM)6.97
OCFY4.05%
SpS16.91
BVpS67.19
TBVpS32.56
PEG (NY)0.37
PEG (5Y)N/A
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 2.76% | ||
| ROE | 5.86% | ||
| ROCE | 1.84% | ||
| ROIC | 1.46% | ||
| ROICexc | 1.58% | ||
| ROICexgc | 2.26% | ||
| OM | 14.19% | ||
| PM (TTM) | 23.27% | ||
| GM | 57.91% | ||
| 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%
ROICexcg growth 3Y-14.91%
ROICexcg 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-Score6
Asset Turnover0.12
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.81 | ||
| Debt/FCF | N/A | ||
| Debt/EBITDA | 6.99 | ||
| Cap/Depr | 165.35% | ||
| Cap/Sales | 52.16% | ||
| Interest Coverage | 2.18 | ||
| Cash Conversion | 90.08% | ||
| Profit Quality | N/A | ||
| Current Ratio | 1.35 | ||
| Quick Ratio | 1.35 | ||
| Altman-Z | 1.4 |
F-Score6
WACC7.2%
ROIC/WACC0.2
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)222.88%
EPS 3Y-35.08%
EPS 5Y-7.17%
EPS Q2Q%1370%
EPS Next Y120.63%
EPS Next 2Y4.31%
EPS Next 3Y10.59%
EPS Next 5Y36.5%
Revenue 1Y (TTM)5.64%
Revenue growth 3Y7.85%
Revenue growth 5Y11.6%
Sales Q2Q%10.05%
Revenue Next Year6.94%
Revenue Next 2Y8.96%
Revenue Next 3Y9.63%
Revenue Next 5Y9.41%
EBIT growth 1Y46.39%
EBIT growth 3Y-9.36%
EBIT growth 5Y-2.05%
EBIT Next Year486.09%
EBIT Next 3Y94.05%
EBIT Next 5Y55.39%
FCF growth 1Y49.61%
FCF growth 3YN/A
FCF growth 5YN/A
OCF growth 1Y40.62%
OCF growth 3Y9.93%
OCF growth 5Y8.36%