Digital Realty TrustNYSE: DLR

DLR has doubled down on its renewable energy investments, thanks to its ability to access low borrowing costs - triggering improved ESG prospects. The REIT's strong FQ3'24 results and raised FY2024 guidance have also contributed to the stock's double-digit outperformance compared to the wider market. DLR's current valuation appears overly inflated, well surpassing the historical and sector averages - implying a minimal margin of safety.

DLR's funds from operations (FFO) per share for the third quarter matched expectations. However, high operating costs had a negative impact on the overall results.

Digital Realty Trust, Inc. (NYSE:DLR) will hold its Q3 2024 Earnings Conference Call on October 24, 2024, at 5:00 PM ET. The call will feature several company executives, including the CEO and CFO, as well as analysts from various financial institutions. Please be aware that this event is being recorded.

The main figures for Digital Realty Trust (DLR) provide an overview of the company's performance for the quarter that ended in September 2024. However, it could be helpful to compare some important metrics with Wall Street predictions and the results from the same period last year.

Digital Realty Trust (DLR) reported quarterly funds from operations (FFO) of $1.67 per share, matching the Zacks Consensus Estimate. This is an increase from the FFO of $1.62 per share from the same time last year.

On Thursday, Digital Realty Trust reported an increase in its third-quarter funds from operations (FFO), driven by strong demand for its data center services. This news led to a 6.2% rise in its shares during after-hours trading.

Digital Realty Trust, Inc. is set to benefit significantly in the latter part of FY25 as many leases are due for renewal. The limited availability of essential capacity could limit new data center construction, which might increase rental prices for leased spaces. With its worldwide reach and advanced features like direct liquid cooling, DLR is well-placed to take advantage of the growing demand driven by AI, possibly resulting in higher renewal rates for major clients.

DLR's earnings in the third quarter might have benefited from strong demand for data centers and a faster shift towards digital transformation. Nevertheless, the high interest costs are a worry.

In addition to Wall Street's predictions for Digital Realty Trust's (DLR) earnings, take a look at forecasts for some important metrics to better understand how the company performed in the quarter that ended in September 2024.