Digital Realty Trust (DLR) Tops Q4 FFO Estimates

Core Viewpoint - Digital Realty Trust (DLR) reported quarterly funds from operations (FFO) of $1.73 per share, exceeding the Zacks Consensus Estimate of $1.70 per share, and showing an increase from $1.63 per share a year ago [1][2] Group 1: Financial Performance - The company achieved an FFO surprise of 1.76% for the quarter [1] - Digital Realty Trust's revenues for the quarter ended December 2024 were $1.44 billion, which was 1.47% below the Zacks Consensus Estimate, compared to $1.37 billion in the same quarter last year [2] - Over the last four quarters, the company has surpassed consensus FFO estimates three times but has not beaten consensus revenue estimates [2] Group 2: Stock Performance and Outlook - Digital Realty Trust shares have declined approximately 8% since the beginning of the year, while the S&P 500 has gained 2.9% [3] - The future performance of the stock will largely depend on management's commentary during the earnings call and the company's FFO outlook [4][6] - The current consensus FFO estimate for the upcoming quarter is $1.73 on revenues of $1.46 billion, and for the current fiscal year, it is $7.07 on revenues of $6.01 billion [7] Group 3: Industry Context - The REIT and Equity Trust - Other industry, to which Digital Realty Trust belongs, is currently ranked in the bottom 39% of over 250 Zacks industries, indicating potential challenges ahead [8] - The performance of Digital Realty Trust may also be influenced by the overall outlook for the industry [8]