Core Viewpoint - Digital Realty Trust, Inc. (DLR) is expected to maintain profitability in FY2024, with a robust investment thesis supported by strategic growth initiatives and improved financial metrics [2][3][11]. Financial Performance - DLR reported total operating revenues of $1.33 billion in FQ1'24, reflecting a 2.2% decrease quarter-over-quarter but inline year-over-year, while AFFO per share increased by 29.2% quarter-over-quarter and 7.6% year-over-year to $1.68 [5]. - The REIT achieved record leasing levels, with pricing averaging $264 per square foot, a 59% increase quarter-over-quarter and 56.2% year-over-year [6]. - DLR's multi-year backlog reached $541 million, up 21.3% quarter-over-quarter and 24.6% year-over-year, indicating strong demand and visibility for future revenue [7]. Growth Drivers - The management's intensified Joint Ventures and strategic funding plans have contributed to a healthier balance sheet, with a net-debt-to-EBITDA ratio improving to 5.8x from 6.2x in FQ4'23 and 7.1x in FQ1'23 [9][10]. - FY2024 guidance has been raised, with rental rates on a renewal basis expected to increase by 6% year-over-year and Same-Capital cash NOI growth projected at 3% year-over-year [8]. Dividend Outlook - The AFFO payout ratio improved to 72.8% in FQ1'24, down from 76.6% in FQ4'19, suggesting potential for a dividend increase in 2025 [10][11]. - The consensus estimates indicate a dividend per share increase from $4.90 in FY2024 to $5.03 in FY2025, reflecting a 2.7% growth [12]. Valuation Metrics - DLR's forward Price/AFFO valuation stands at 22.89x, compared to sector median valuations, indicating it remains reasonably valued despite a premium [14][15]. - The REIT's forward dividend yield is 3.42%, lower than the sector median of 4.75%, but still offers decent returns [21]. Market Sentiment - DLR has traded sideways in 2024 amid mixed market sentiments, with inflation concerns and high borrowing costs impacting investor outlook [20]. - Despite these challenges, the stock is trading near fair value estimates, with an upside potential of 18.5% to a long-term price target of $169.30 based on FY2026 AFFO per share estimates [21].

Group 1 - Digital Realty Trust (DLR) has introduced innovative liquid-to-chip cooling technology to address challenges in high-density workloads, particularly in AI and data-intensive applications [1][2] - The new direct liquid cooling (DLC) offering enhances flexibility for businesses to deploy high-density configurations in proximity to cloud and AI service providers [2][4] - The Private AI Exchange launched by Digital Realty provides new data exchange options that complement the DLC solutions [3] Group 2 - Digital Realty's advanced deployment support can manage power densities from 30 to 150 kilowatts per rack, utilizing solutions like rear door heat exchangers (RDHx) and DLC [4] - The company aims to expand its high-density colocation offerings across more data centers globally to meet the rising demands of AI [5] - The demand for high-performing data centers is expected to grow due to trends in cloud computing, IoT, and big data [6] Group 3 - The growth in AI, autonomous vehicles, and virtual/augmented reality markets is anticipated to accelerate over the next five to six years, positioning DLR's data center portfolio for long-term growth [7] - Over the past three months, DLR's shares have increased by 6.2%, contrasting with a 1% decline in the industry [7]

Solution available in 170 Digital Realty data centers globally AUSTIN, Texas, May 15, 2024 /PRNewswire/ -- Digital Realty (NYSE: DLR), the largest global provider of cloud- and carrier-neutral data center, colocation, and interconnection solutions, today announced the availability of groundbreaking liquid-to-chip cooling technology, the next evolution in high-density deployment support. This innovative advancement represents a significant leap forward in addressing the evolving challenges of managing high-d ...

FangXiaNuo Digital Realty (NYSE:DLR) brings companies and data together by delivering the full spectrum of data center, colocation, and interconnection solutions. We have started coverage of DLR back in August 2023, with an initial neutral rating. Our first article, titled the Pros and Cons of Investing in Digital Realty Trust, highlighted on one hand that the firm has outperformed the broader REIT market in the past decade and that it has been committed to return value to its shareholders in the form of di ...

AUSTIN, Texas, May 8, 2024 /PRNewswire/ -- Digital Realty (NYSE: DLR), the largest global provider of cloud- and carrier-neutral data center, colocation and interconnection solutions, announced today it has priced an underwritten registered public offering of 10,500,000 shares of its common stock for expected gross proceeds of approximately $1,470 million. BofA Securities, Citigroup Global Markets Inc. and J.P. Morgan Securities LLC are acting as joint-bookrunning managers for the public offering.   As part ...

AUSTIN, Texas, May 7, 2024 /PRNewswire/ -- Digital Realty (NYSE: DLR), the largest global provider of cloud- and carrier-neutral data center, colocation and interconnection solutions, announced today that it has commenced an underwritten registered public offering to sell 10,500,000 shares of its common stock. The Company intends to grant the underwriters in the offering a 30-day option to purchase up to an additional 1,575,000 shares of its common stock. BofA Securities, Citigroup Global Markets Inc. and J ...

For the Transition Period From to . Commission file number 001-32336 (Digital Realty Trust, Inc.) 000-54023 (Digital Realty Trust, L.P.) DIGITAL REALTY TRUST, INC. DIGITAL REALTY TRUST, L.P. (Exact name of registrant as specified in its charter) Table of Contents UNITED STATES SECURITIES AND EXCHANGE COMMISSION WASHINGTON, D.C. 20549 FORM 10-Q ☒ Quarterly Report Pursuant to Section 13 or 15(d) of the Securities Exchange Act of 1934 For the quarterly period ended March 31, 2024 ☐ Transition Report Pursuant t ...

| --- | --- | --- | --- | |-------|--------------------|-------|-----------| | | $ 451,273 | | $ 484,745 | | | | | | | | $ 1.42 | | $ 1.63 | | | $ 1.41 | | $ 1.60 | | | | | | | | | | | | | | | | | | | | | | | $ 420,591 | | $ 412,192 | | | Three Months Ended | | | Basic FFO per share and unit Diluted FFO per share and unit Weighted average common stock and units outstanding Basic 318,469 297,180 Diluted 326,975 309,026 (1) Real estate related depreciation and amortization was computed as follows: Depreciatio ...

Digital Realty Trust, Inc. (NYSE:DLR) Q1 2024 Earnings Conference Call May 2, 2024 5:00 PM ET Company Participants Jordan Sadler - SVP, Public & Private IR Andrew Power - President & CEO Matthew Mercier - CFO Christopher Sharp - Chief Technology Officer Colin McLean - Chief Revenue Officer Gregory Wright - Chief Investment Officer Conference Call Participants John Peterson - Jefferies Jonathan Atkin - RBC Capital Markets Eric Luebchow - Wells Fargo David Barden - Bank of America Irvin Liu - Evercore ISI Ric ...

Exhibit 99.1 . Table of Contents Financial Supplement Table of Contents First Quarter 2024 | \ Overview | PAGE | | --- | --- | | Corporate Information | 3 | | Key Quarterly Financial Data | 5 | | Consolidated Statements of Operations | | | Earnings Release | 7 | | 2024 Outlook | 10 | | Consolidated Quarterly Statements of Operations | 12 | | Funds From Operations and Core Funds From Operations | 13 | | Adjusted Funds From Operations | 14 | | Balance Sheet Information | | | Consolidated Balance Sheets | 15 | ...