Digital Realty Trust (NYSE:DLR) Shares Gap Down – Should You Sell?

Digital Realty Trust, Inc. (NYSE:DLR)’s share price gapped down prior to trading on Tuesday . The stock had previously closed at $190.58, but opened at $182.25. Digital Realty Trust shares last traded at $180.7670, with a volume of 3,034,472 shares changing hands.

Analysts Set New Price Targets

Several research firms have recently issued reports on DLR. Wells Fargo & Company lifted their price target on Digital Realty Trust from $195.00 to $220.00 and gave the stock an “overweight” rating in a research note on Tuesday, April 21st. Citizens Jmp increased their price objective on shares of Digital Realty Trust from $220.00 to $250.00 and gave the company a “market outperform” rating in a research note on Monday, April 27th. Scotiabank raised their target price on shares of Digital Realty Trust from $195.00 to $222.00 and gave the company an “outperform” rating in a report on Monday, April 27th. Truist Financial lifted their target price on shares of Digital Realty Trust from $208.00 to $225.00 and gave the stock a “buy” rating in a research report on Wednesday, June 24th. Finally, Jefferies Financial Group increased their price target on shares of Digital Realty Trust from $223.00 to $233.00 and gave the company a “buy” rating in a research report on Friday, April 24th. One research analyst has rated the stock with a Strong Buy rating, twenty have assigned a Buy rating and eight have issued a Hold rating to the company. According to MarketBeat.com, Digital Realty Trust presently has an average rating of “Moderate Buy” and a consensus price target of $216.81.

Digital Realty Trust Stock Performance

The company has a market capitalization of $61.99 billion, a PE ratio of 46.55, a price-to-earnings-growth ratio of 4.88 and a beta of 1.03. The stock’s fifty day simple moving average is $191.00 and its 200-day simple moving average is $177.99. The company has a debt-to-equity ratio of 0.78, a quick ratio of 1.59 and a current ratio of 1.59.

Digital Realty Trust (NYSE:DLR) last posted its quarterly earnings data on Thursday, April 23rd. The real estate investment trust reported $0.46 earnings per share for the quarter, meeting analysts’ consensus estimates of $0.46. The business had revenue of $1.64 billion during the quarter, compared to analyst estimates of $1.63 billion. Digital Realty Trust had a net margin of 21.73% and a return on equity of 6.05%. The company’s revenue was up 16.2% on a year-over-year basis. During the same quarter in the previous year, the business posted $1.77 earnings per share. Digital Realty Trust has set its FY 2026 guidance at 7.950-8.050 EPS. As a group, equities analysts predict that Digital Realty Trust, Inc. will post 8.05 earnings per share for the current year.

Digital Realty Trust Announces Dividend

The firm also recently declared a quarterly dividend, which was paid on Tuesday, June 30th. Shareholders of record on Monday, June 15th were paid a dividend of $1.22 per share. This represents a $4.88 dividend on an annualized basis and a dividend yield of 2.8%. The ex-dividend date of this dividend was Monday, June 15th. Digital Realty Trust’s dividend payout ratio is currently 128.76%.

Institutional Investors Weigh In On Digital Realty Trust

A number of hedge funds and other institutional investors have recently made changes to their positions in DLR. Sunbelt Securities Inc. lifted its position in Digital Realty Trust by 347.2% during the third quarter. Sunbelt Securities Inc. now owns 161 shares of the real estate investment trust’s stock worth $28,000 after buying an additional 125 shares during the period. Bell Investment Advisors Inc grew its holdings in Digital Realty Trust by 56.9% in the 1st quarter. Bell Investment Advisors Inc now owns 171 shares of the real estate investment trust’s stock valued at $31,000 after buying an additional 62 shares during the period. Harvest Fund Management Co. Ltd increased its position in Digital Realty Trust by 970.6% during the third quarter. Harvest Fund Management Co. Ltd now owns 182 shares of the real estate investment trust’s stock worth $31,000 after purchasing an additional 165 shares during the last quarter. Caitong International Asset Management Co. Ltd purchased a new stake in Digital Realty Trust during the third quarter valued at about $34,000. Finally, MCF Advisors LLC acquired a new stake in Digital Realty Trust during the fourth quarter worth about $35,000. Hedge funds and other institutional investors own 99.71% of the company’s stock.

Digital Realty Trust Company Profile

Digital Realty Trust, Inc (NYSE: DLR) is a real estate investment trust that owns, acquires and operates carrier-neutral data centers and provides related colocation and interconnection solutions. The company focuses on large-scale, mission-critical facilities that support the physical infrastructure needs of cloud providers, enterprises, network operators and content companies. Digital Realty’s offerings are designed to enable secure, reliable and highly available IT infrastructure with an emphasis on power density, cooling, and physical security.

Digital Realty’s product set spans wholesale data center space, turnkey build-to-suit facilities, and retail colocation suites, complemented by interconnection services that allow customers to establish private and public connections to networks, cloud on-ramps and other ecosystem partners.