Digital Realty brings companies and data together by delivering the full spectrum of data center, colocation and interconnection solutions. PlatformDIGITAL®, the company's global data center platform, provides customers with a secure data meeting place and a proven Pervasive Datacenter Architecture (PDx ®) solution methodology for powering innovation and efficiently managing Data Gravity challenges. Digital Realty gives its customers access to the connected data communities that matter to them with a global ...

Core Insights - Digital Realty and Bersama Digital Infrastructure Asia (BDIA) have formed a 50-50 joint venture named Digital Realty Bersama to develop and operate data centers in Indonesia, enhancing Digital Realty's PlatformDIGITAL® presence in the region [1][9] - The joint venture aims to support Indonesia's growing digital economy, driven by a young and tech-savvy population, and is expected to provide critical infrastructure for businesses [1][6] Company Overview - Digital Realty is the largest global provider of cloud- and carrier-neutral data center, colocation, and interconnection solutions, with over 300 facilities in more than 50 metropolitan areas across 25 countries [8] - BDIA, a leading Southeast Asian digital infrastructure platform, includes major shareholders such as Provident Capital Partners and Macquarie Asset Management [2][10] Joint Venture Details - Digital Realty Bersama will operate BDDC's Jakarta-based carrier-neutral data center platform, which includes two data centers located in Central and West Jakarta [2][4] - The newly launched CGK11 data center has an initial IT load capacity of 5 megawatts (MW) and is expected to expand to 32 MW [4] Market Potential - The Jakarta colocation market is projected to generate $499 million in 2025, with a five-year compound annual growth rate (CAGR) of 11% and an expected uptake of approximately 54.6 MW [5] Leadership and Management - The joint venture will be led by experienced executives, including CEO Angelo Syailendra and Chairman Setyanto Hantoro, with Krishna Worotikan as CFO [3][6] Financial Commitment - Digital Realty has invested approximately $100 million for a 50% interest in the joint venture, which will also receive property management and development fees [7]

Core Insights - The article discusses two cyclical stocks, Digital Realty Trust Inc. and Tyson Foods Inc., which are benefiting from current market trends driven by the AI boom and a recovery in cattle production respectively [1][9] - A total of ten cyclical stocks have been recommended, which have collectively risen by an average of 7%, outperforming the S&P 500 and Nasdaq Composite [2] - Cyclical trends can often counteract broader market downturns, as evidenced by historical examples where specific sectors thrived despite overall market declines [3] Company Summaries - **Digital Realty Trust Inc. (DLR)**: A $50 billion data center company that leases space to AI cloud computing customers, experiencing significant growth due to the AI boom [9] - **Tyson Foods Inc. (TSN)**: A major player in the meatpacking industry, focusing on chicken and beef production, benefiting from a turnaround in cattle production [9] - **Douglas Dynamics Inc. (PLOW)**: The largest producer of snowplow attachments in the U.S., which saw a revenue surge of 56% following the severe winter of 2015, but faced a down-cycle due to dry winters starting in 2020 [7][8][11] - **CME Group Inc. (CME)** and **Cboe Global Markets Inc. (CBOE)**: Both companies have a strong market position in options and futures, with profits increasing during periods of market volatility [13][14] - **Charles Schwab Corp. (SCHW)**: The largest brokerage firm, which has adapted to market trends and generated significant net interest revenue, expected to benefit from a new trading cycle starting in 2025 [16][20] Market Trends - The article highlights that cyclical stocks are currently positioned to benefit from upward trends in various sectors, including power production and financial exchanges, even as the broader market faces challenges [3] - The return of average winter conditions in the Northeast and recent snowstorms in the South are expected to create a new up-cycle for Douglas Dynamics [10][12] - Analysts predict a 34% increase in earnings per share for Charles Schwab in the current year, driven by declining interest rates and increased trading volumes [20]

Core Viewpoint - Digital Realty has announced the authorization of quarterly cash dividends for both common and preferred stock for the first quarter of 2025, reflecting the company's commitment to returning value to shareholders [1]. Common Stock - The board has approved a cash dividend of $1.22 per share for common stockholders, with a record date of March 14, 2025, and payment scheduled for March 31, 2025 [2]. Series J Cumulative Redeemable Preferred Stock - A cash dividend of $0.328125 per share has been authorized for holders of the 5.250% Series J Cumulative Redeemable Preferred Stock, also with a record date of March 14, 2025, and payment on March 31, 2025 [3]. Series K Cumulative Redeemable Preferred Stock - The board has approved a cash dividend of $0.365625 per share for holders of the 5.850% Series K Cumulative Redeemable Preferred Stock, with the same record and payment dates as above [4]. Series L Cumulative Redeemable Preferred Stock - A cash dividend of $0.325000 per share has been authorized for holders of the 5.200% Series L Cumulative Redeemable Preferred Stock, with the record date of March 14, 2025, and payment on March 31, 2025 [5]. Company Overview - Digital Realty is a leading global provider of cloud- and carrier-neutral data center, colocation, and interconnection solutions, operating over 300 facilities in more than 50 metropolitan areas across 25 countries [6].

Core Insights - The article emphasizes the author's unique insights and knowledge in stock analysis, aiming to provide contrasting views on their portfolio [1] Group 1 - The author holds beneficial long positions in shares of major tech companies including Amazon (AMZN), Microsoft (MSFT), Google (GOOG), and Meta (META) through various financial instruments [2] - The analysis is intended for informational purposes and encourages investors to conduct their own research and due diligence before making investment decisions [3]

Debt and Liabilities - As of December 31, 2024, the total outstanding debt was $16,847 million, with fixed rate debt at $12,160 million and variable rate debt at $3,103 million[475]. - The company’s fixed rate debt had an estimated fair value of $11,463 million, while the total fair value of outstanding debt was $16,150 million[475]. - A 10% increase in interest rates would lead to an increase in annual interest expense of $4 million on variable rate debt not subject to swaps[476]. - The fair value of fixed rate debt would decrease by $139 million following a 10% decrease in interest rates[476]. - The total liabilities decreased to $22.11 billion as of December 31, 2024, from $23.12 billion as of December 31, 2023[520]. - Unsecured term loans, net significantly decreased to $386.9 million as of December 31, 2024, from $1.56 billion as of December 31, 2023[520]. Revenue and Income - Rental and other services revenue for the year ended December 31, 2024, was $5.5 billion, with deferred rent net and accounts receivable at $642 million and $570 million, respectively[496]. - Total operating revenues for 2024 reached $5,554,968, a slight increase of 1.4% compared to $5,477,061 in 2023[522]. - Net income for 2024 was $588,327, a decrease of 38.1% from $950,312 in 2023[524]. - Operating income decreased to $471,864 in 2024, down 10% from $524,461 in 2023[522]. - The company reported a net income available to common stockholders of $561,766 for 2024, down 38.1% from $908,114 in 2023[522]. - Basic net income per share available to common stockholders was $1.74 in 2024, compared to $3.04 in 2023, reflecting a decline of 42.5%[522]. - Total operating expenses increased to $5,083,104 in 2024, up 2.6% from $4,952,600 in 2023[522]. Assets and Equity - Total assets increased to $45.28 billion as of December 31, 2024, compared to $44.11 billion as of December 31, 2023[520]. - Stockholders' equity rose to $21.34 billion as of December 31, 2024, up from $19.12 billion as of December 31, 2023, reflecting an increase of approximately 11.6%[520]. - The Operating Partnership's investments in properties, net decreased slightly to $24.12 billion as of December 31, 2024, from $24.24 billion as of December 31, 2023[520]. - The total equity increased to $21.74 billion as of December 31, 2024, compared to $19.60 billion as of December 31, 2023, indicating a growth of approximately 10.9%[520]. - Cash and cash equivalents increased to $3.87 billion as of December 31, 2024, compared to $1.63 billion as of December 31, 2023[520]. Foreign Currency and Risk Management - The company’s exposure to foreign currency exchange risk is primarily related to the Euro, Japanese yen, British pound sterling, Singapore dollar, South African rand, and Brazilian real[479]. - The company utilizes cross-currency interest rate swaps to hedge currency exposure associated with foreign subsidiaries[479]. - The company has designated notes denominated in Swiss francs with a total outstanding principal balance of 545 million CHF as non-derivative hedges of net investments in foreign operations[601]. - As of December 31, 2024, the company had no outstanding derivative foreign currency contracts[600]. Audit and Internal Control - The evaluation of the probability of collection of Scale and Hyperscale lease payments was identified as a critical audit matter, requiring significant auditor judgment[497]. - The company maintained effective internal control over financial reporting as of December 31, 2024, based on established criteria[500]. - The company’s internal control system is designed to provide reasonable assurance regarding the preparation and fair presentation of financial statements[481]. Comprehensive Income and Other Adjustments - Comprehensive income attributable to Digital Realty Trust, Inc. was $173,693 in 2024, down from $792,055 in 2023[524]. - The company experienced a foreign currency translation adjustment loss of $605,636 in 2024, compared to a loss of $209,973 in 2023[524]. - Other comprehensive loss for the year ended December 31, 2024, was $450,286, compared to a loss of $157,198 in 2023, reflecting a worsening situation[533]. Investments and Acquisitions - The company sold or contributed properties generating gross proceeds of $1,246.4 million in joint venture contributions in 2024, with a gain on sale of $304.1 million[659]. - A joint venture with Blackstone Inc. was formed to develop four hyperscale data center campuses, with net proceeds of approximately $231 million received from the first phase[661]. - The company recognized a total gain on disposition of approximately $200.5 million from the sale of its interest in four data centers to Brookfield Infrastructure Partners L.P.[663]. - The company expanded its joint venture with GI Partners, receiving approximately $386 million in net proceeds from the contribution of a data center valued at approximately $453 million[665]. Shareholder and Equity Changes - The number of common shares increased to 311,607,580 by December 31, 2023, up from 291,148,222 a year earlier, representing a growth of about 7%[530]. - The company reported distributions totaling $1,544,156,000 for the year ended December 31, 2023, compared to $1,474,864,000 in the previous year, representing an increase of approximately 4.7%[550]. - The balance of redeemable partnership units as of December 31, 2024, was $1,433,185, an increase from $1,394,814 in 2023[553].

Core Insights - Digital Realty has appointed Paula Cogan as Managing Director, Head of EMEA, effective March 17, 2025, to lead the growth of the region's data center platform and enhance the value of PlatformDIGITAL™ [1][2] - Cogan has over 20 years of experience in European telecommunications and infrastructure, previously serving as CEO of euNetworks and holding executive roles at Colt Technology Services and Verizon [2][3] - Digital Realty operates over 120 data centers across 26 metropolitan areas in EMEA, positioning the company for continued growth in the region [3] Company Overview - Digital Realty is the largest global provider of cloud- and carrier-neutral data center, colocation, and interconnection solutions, with a global footprint of over 300 facilities in more than 50 metropolitan areas across 25 countries [4] - The company's PlatformDIGITAL® offers a secure data meeting place and a proven Pervasive Datacenter Architecture (PDx®) solution methodology to address Data Gravity challenges [4]

Core Viewpoint - The article emphasizes the importance of understanding that past performance does not guarantee future results, highlighting the need for careful analysis before making investment decisions [2][3]. Group 1: Company Insights - The article does not provide specific insights or data regarding any particular company or its performance [1][2][3]. Group 2: Industry Analysis - The article does not include any detailed analysis or commentary on industry trends or dynamics [1][2][3].

Group 1: Cyclical Stocks Performance - Eight cyclical stocks introduced last month have surged an average of 8.6% in less than a month, outperforming the S&P 500 by more than ten times and contrasting with negative returns from the Dow Jones Industrial Average (-0.3%) and Nasdaq Composite (-0.1%) [1] - Conservative stocks can yield significant returns when supported by cyclical tailwinds, with short-term seasonal effects boosting energy companies due to rising natural gas prices in winter [3] Group 2: Key Companies and Their Performance - CME Group Inc. (CME) and Cboe Global Markets Inc. (CBOE) hold virtual monopolies in options and futures markets, while Eversource Energy (ES) is a notable New England power utility [2] - Digital Realty Trust Inc. (DLR) reported revenues of $1.4 billion, a 5% increase from the previous year, and earnings per share of $0.51, a fivefold increase, driven by a surge in leasing activity due to capacity constraints in cloud computing [14][15] - Tyson Foods Inc. (TSN) is expected to benefit from a turnaround in U.S. cattle production, with net income projected to rise at a 19% annualized rate through 2027, supported by strong poultry demand [20][22] Group 3: Investment Criteria for Cyclical Stocks - Four key criteria for selecting cyclical firms include achieving an "A" or "B" rating in Louis Navellier's Stock Grader, having protective business moats, demonstrating industry cyclicality, and trading within 30% of their 52-week low [9][10]

Core Points - DLR Kredit A/S has scheduled the publication dates for its financial statements in 2025 [1] - The ordinary general meeting is set for April 29, 2025 [1] - The company will release its annual report for 2024 on February 7, 2025 [1] Financial Reporting Schedule - Annual Report 2024 will be published on February 7, 2025 [1] - Interim Report for Q1 2025 will be published on April 29, 2025 [1] - Interim Report for H1 2025 will be published on August 21, 2025 [1] - Interim Report for Q1-Q3 2025 will be published on October 29, 2025 [1] Availability of Information - All announcements will be available on DLR Kredit A/S's website immediately after publication [1] - For further inquiries, contact information for Jakob Kongsgaard Olsson is provided [1]