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Digital Realty Trust (DLR) Stock Moves -0.14%: What You Should Know

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Digital Realty Trust (DLR - Free Report) closed the most recent trading day at $95.08, moving -0.14% from the previous trading session. This change was narrower than the S&P 500's daily loss of 0.8%. Elsewhere, the Dow lost 0.3%, while the tech-heavy Nasdaq lost 0.03%.

Prior to today's trading, shares of the real estate investment trust had lost 12.48% over the past month. This has lagged the Finance sector's loss of 6.08% and the S&P 500's loss of 5.13% in that time.

Wall Street will be looking for positivity from Digital Realty Trust as it approaches its next earnings report date. This is expected to be October 26, 2022. In that report, analysts expect Digital Realty Trust to post earnings of $1.69 per share. This would mark year-over-year growth of 2.42%. Meanwhile, the Zacks Consensus Estimate for revenue is projecting net sales of $1.19 billion, up 5.02% from the year-ago period.

DLR's full-year Zacks Consensus Estimates are calling for earnings of $6.79 per share and revenue of $4.69 billion. These results would represent year-over-year changes of +3.98% and +5.92%, respectively.

It is also important to note the recent changes to analyst estimates for Digital Realty Trust. These revisions typically reflect the latest short-term business trends, which can change frequently. As such, positive estimate revisions reflect analyst optimism about the company's business and profitability.

Our research shows that these estimate changes are directly correlated with near-term stock prices. We developed the Zacks Rank to capitalize on this phenomenon. Our system takes these estimate changes into account and delivers a clear, actionable rating model.

Ranging from #1 (Strong Buy) to #5 (Strong Sell), the Zacks Rank system has a proven, outside-audited track record of outperformance, with #1 stocks returning an average of +25% annually since 1988. Over the past month, the Zacks Consensus EPS estimate has moved 0.52% lower. Digital Realty Trust currently has a Zacks Rank of #4 (Sell).

In terms of valuation, Digital Realty Trust is currently trading at a Forward P/E ratio of 14.03. This valuation marks a premium compared to its industry's average Forward P/E of 11.61.

Also, we should mention that DLR has a PEG ratio of 2.06. This metric is used similarly to the famous P/E ratio, but the PEG ratio also takes into account the stock's expected earnings growth rate. The REIT and Equity Trust - Other industry currently had an average PEG ratio of 1.89 as of yesterday's close.

The REIT and Equity Trust - Other industry is part of the Finance sector. This industry currently has a Zacks Industry Rank of 137, which puts it in the bottom 46% of all 250+ industries.

The Zacks Industry Rank gauges the strength of our individual industry groups by measuring the average Zacks Rank of the individual stocks within the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.

To follow DLR in the coming trading sessions, be sure to utilize Zacks.com.


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