Digital Realty Trust Inc (DLR) Shares Decline Despite Market Challenges

Digital Realty Trust Inc (NYSE: DLR) has experienced a decline in its stock price by -3.43 compared to its previous closing price of 165.36. However, the company has seen a fall of -2.79% in its stock price over the last five trading days. prnewswire.com reported 2025-02-24 that DALLAS, Feb. 24, 2025 /PRNewswire/ — Digital Realty (NYSE: DLR), the largest global provider of cloud- and carrier-neutral data center, colocation, and interconnection solutions, has appointed Paula Cogan as Managing Director, Head of EMEA, effective March 17, 2025. Paula will lead Digital Realty’s EMEA team, driving continued growth of the region’s data center platform and delivering the value of PlatformDIGITAL™, the world’s largest meeting place for companies, technologies, and data, throughout EMEA.

Is It Worth Investing in Digital Realty Trust Inc (NYSE: DLR) Right Now?

The price-to-earnings ratio for Digital Realty Trust Inc (NYSE: DLR) is above average at 98.39x, Company’s 36-month beta value is 0.67.Analysts have differing opinions on the stock, with 11 analysts rating it as a “buy,” 8 as “overweight,” 7 as “hold,” and 0 as “sell.”

The public float for DLR is 336.20M, and currently, short sellers hold a 1.76% ratio of that floaft. The average trading volume of DLR on February 25, 2025 was 2.17M shares.

DLR’s Market Performance

DLR’s stock has seen a -2.79% decrease for the week, with a -12.98% drop in the past month and a -14.73% fall in the past quarter. The volatility ratio for the week is 3.31%, and the volatility levels for the past 30 days are at 2.89% for Digital Realty Trust Inc The simple moving average for the past 20 days is -3.26% for DLR’s stock, with a -1.86% simple moving average for the past 200 days.

Analysts’ Opinion of DLR

Many brokerage firms have already submitted their reports for DLR stocks, with Scotiabank repeating the rating for DLR by listing it as a “Sector Outperform.” The predicted price for DLR in the upcoming period, according to Scotiabank is $208 based on the research report published on February 18, 2025 of the current year 2025.

JMP Securities, on the other hand, stated in their research note that they expect to see DLR reach a price target of $220. The rating they have provided for DLR stocks is “Mkt Outperform” according to the report published on January 27th, 2025.

Deutsche Bank gave a rating of “Buy” to DLR, setting the target price at $194 in the report published on January 15th of the current year.

DLR Trading at -8.24% from the 50-Day Moving Average

After a stumble in the market that brought DLR to its low price for the period of the last 52 weeks, the company was unable to rebound, for now settling with -19.35% of loss for the given period.

Volatility was left at 2.89%, however, over the last 30 days, the volatility rate increased by 3.31%, as shares sank -11.53% for the moving average over the last 20 days. Over the last 50 days, in opposition, the stock is trading -15.14% lower at present.

During the last 5 trading sessions, DLR fell by -2.79%, which changed the moving average for the period of 200-days by +11.07% in comparison to the 20-day moving average, which settled at $165.08. In addition, Digital Realty Trust Inc saw -9.95% in overturn over a single year, with a tendency to cut further losses.

Insider Trading

Reports are indicating that there were more than several insider trading activities at DLR starting from Mercier Matt, who sale 2,518 shares at the price of $187.40 back on Dec 12 ’24. After this action, Mercier Matt now owns 0 shares of Digital Realty Trust Inc, valued at $471,873 using the latest closing price.

Mercier Matt, the Officer of Digital Realty Trust Inc, proposed sale 2,518 shares at $187.39 during a trade that took place back on Dec 12 ’24, which means that Mercier Matt is holding shares at $471,861 based on the most recent closing price.

Stock Fundamentals for DLR

Current profitability levels for the company are sitting at:

  • 0.16 for the present operating margin
  • 0.37 for the gross margin

The net margin for Digital Realty Trust Inc stands at 0.07. The total capital return value is set at 0.34. Equity return is now at value 2.98, with 1.35 for asset returns.

Currently, EBITDA for the company is 3.16 billion with net debt to EBITDA at -0.02. When we switch over and look at the enterprise to sales, we see a ratio of 12.39.

Conclusion

In a nutshell, Digital Realty Trust Inc (DLR) has experienced a bad performance in recent times. The stock has received mixed “buy” and “hold” ratings from analysts. It’s important to note that the stock is currently trading at a significant distance from its 50-day moving average and its 52-week high.

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