| Factor | Score | Distribution | Value | Avg | Rank |
|---|---|---|---|---|---|
Valuation | 16 | 90.7x | 17.8x | Bottom tier | |
Growth | 44 | 17.4% | 7.1% | Around median | |
Quality | 33 | 2.2% | 4.5% | Bottom tier | |
Safety | 46 | 5.3x | 2.6x | Around median | |
Capital Return | 62 | 2.67% | 2.12% | Around median | |
Momentum | 68 | 18.7% | 2.9% | Top tier | |
Sentiment | 79 | 14 | 3 | Top tier |
Estimates — analyst targets and a simplified DCF, not investment advice.
Ten ratios that matter, each compared against its sector median and average — so you can see whether a number is rich or cheap relative to peers in the same sector.
Digital Realty Trust is a real estate investment trust specializing in digital infrastructure, providing data center services through more than 300 facilities worldwide to a base of approximately 6,000 customers spanning cloud computing companies, networks, enterprises, and service providers. Its growth model is based on three interconnected pillars: colocation and interconnection, large-capacity hyperscale facilities, and strategic private capital that adds management and development fees and enables the financing of projects beyond the capacity of the balance sheet alone. The PlatformDIGITAL platform serves cloud computing and artificial intelligence workloads, including inference and private AI, by combining power, connectivity, and data proximity to users.
In Q2 fiscal 2026, revenue grew by approximately 19% according to the period's results, while Core FFO was approximately $2.65 per share, including $0.52 of promote income; excluding that income, Core FFO reached a record $2.13 per share, up 14% year over year. The period also benefited from $0.07 per share in business interruption insurance proceeds and $0.02 from currency effects, meaning that part of the result was not fully recurring operationally. At the operating profitability level, same-store cash net operating income rose 8.9%, or 7.2% in constant currency, driven by 8.2% growth in same-store revenue, improved occupancy, renewal spreads, and interconnection.
The business mix in Q2 fiscal 2026 reflected broad strength across products; 0–1 megawatt bookings with interconnection reached a record $108 million, while interconnection bookings alone totaled $20.5 million, up 18% year over year, and approximately 20% of 0–1 megawatt bookings came from AI-related use cases. Renewals exceeded $261 million, with cash re-leasing spreads above 25%, split between 55% for the 0–1 megawatt category and 44% for the greater-than-1-megawatt category. Meanwhile, EDGAR data show that fiscal 2025 revenue was $6.1 billion and net income was $1.3 billion, compared with revenue of $6.3 billion and net income of $1.4 billion for the 2026 TTM period.
The average analyst price target is $221.06, within a wide range of $197 to $240, and the stock carries a consensus “Buy” rating; the average target is also approximately 6% above the 52-week range high of $208.14. On July 29, 2026, Cantor Fitzgerald raised its target from $211 to $221 while maintaining an “Overweight” rating, driven by revenue growth of approximately 19% and the $1.9 billion contract backlog. A price-to-earnings ratio is not available in the data, so the REIT's valuation is more clearly anchored to the fiscal 2026 Core FFO range of $8.15–$8.20 per share, while accounting for capital expenditure intensity and nonrecurring items in Q2 results.
Figures in the text are as of 2026-08-27; the live price is shown at the top of the page.
The most prominent driver is demand for data center capacity related to cloud computing and artificial intelligence, which led management to raise Core FFO per-share guidance to $8.15–$8.20. Bookings in the 0–1 megawatt category with interconnection reached $108 million in Q2 fiscal 2026, and approximately 20% were related to AI use cases. The contract backlog also reached $1.9 billion before adding the two hyperscale contracts signed in July 2026, representing annual rent of $410 million on a 100% share basis.
PlatformDIGITAL combines colocation, interconnection, and hyperscale facilities to serve approximately 6,000 customers across more than 300 data centers. Customers pay for space, power, connectivity, and services that connect data, networks, and cloud platforms, and interconnection alone recorded bookings of $20.5 million in Q2 fiscal 2026. The private capital platform also adds management, development, and construction fees, and normalized fee income slightly exceeded $45 million in the period after excluding promote income.
Reported Core FFO was $2.65 per share, but it included $0.52 of promote income related to the Blackstone transaction. Excluding this item, Core FFO reached a record $2.13 per share, up 14% year over year. The result also included $0.07 per share in business interruption proceeds related to the Singapore incident and $0.02 from a positive currency effect.
Automated analysis for informational purposes only — not investment advice.
The company commenced $208 million of annual rent during Q2 fiscal 2026. An additional $635 million is scheduled to commence in the second half of fiscal 2026, split 45% in Q3 and 55% in Q4. Later periods include $480 million scheduled for fiscal 2027 and $312 million for fiscal 2028 and beyond.
The development portfolio in Q2 fiscal 2026 totaled approximately 1.4 gigawatts under construction at a total cost of $20 billion and was 63% pre-leased after the July 2026 contracts. The company raised its capital expenditure forecast net of partner contributions to $4.25–$4.75 billion, while leverage remained at 4.7 times and liquidity was near $6 billion. The company also uses private capital, including the $3.25 billion U.S. hyperscale fund and more than $12 billion in remaining development capacity.
Digital Realty paid $1.2 billion in cash and issued 12.3 million shares valued at approximately $2.3 billion to acquire Blackstone's aggregate 64% interest in three fully leased hyperscale data centers in Northern Virginia with 288 megawatts of capacity. It also agreed to acquire Columbia Capital for approximately $485 million, adding more than $9 billion in fund commitments and hundreds of institutional investors. The company also plans to acquire a 16% interest in Teraco in exchange for approximately $650 million of DLR shares, with the Columbia Capital and Teraco transactions expected to close during the second half of fiscal 2026.
