Digital Realty Trust, Inc. (NYSE:DLR) Shareholders to Receive $1.22 Quarterly Dividend

Key Points

• Digital Realty declared a quarterly dividend of $1.22 per share, equivalent to $4.88 annually and a 2.7% yield. Shareholders of record December 15 are scheduled to be paid January 15.
• The REIT’s current dividend payout ratio is 305% of earnings, but analysts expect it to fall to 53.5% next year based on projected earnings of $9.13 per share.
• In its latest quarter, Digital Realty missed EPS estimates ($0.48 versus $0.52) but exceeded revenue expectations with $1.90 billion, up 20.6% year over year. Analysts’ consensus rating is “Moderate Buy,” with an average price target of $221.53.

Digital Realty Trust, Inc. (NYSE:DLR - Get Free Report) declared a quarterly dividend on Thursday, November 12th. Investors of record on Tuesday, December 15th will be paid a dividend of $1.22 per share by the real estate investment trust on Friday, January 15th. This represents a $4.88 annualized dividend and a yield of 2.7%. The ex-dividend date of this dividend is Tuesday, December 15th.

Digital Realty Trust has a dividend payout ratio of 305.0% indicating that the company cannot currently cover its dividend with earnings alone and is relying on its balance sheet to cover its dividend payments. Analysts expect Digital Realty Trust to earn $9.13 per share next year, which means the company should continue to be able to cover its $4.88 annual dividend with an expected future payout ratio of 53.5%.

Digital Realty Trust Stock Up 1.4%

DLR opened at $183.66 on Friday. The stock has a market cap of $69.48 billion, a PE ratio of 76.84, a P/E/G ratio of 3.55 and a beta of 0.97. The company has a quick ratio of 0.72, a current ratio of 0.72 and a debt-to-equity ratio of 0.70. Digital Realty Trust has a 52 week low of $146.23 and a 52 week high of $208.14. The business's fifty day simple moving average is $179.87 and its 200 day simple moving average is $183.77.

Digital Realty Trust (NYSE:DLR - Get Free Report) last released its quarterly earnings results on Thursday, October 29th. The real estate investment trust reported $0.48 earnings per share for the quarter, missing analysts' consensus estimates of $0.52 by ($0.04). Digital Realty Trust had a net margin of 13.06% and a return on equity of 3.68%. The firm had revenue of $1.90 billion for the quarter, compared to analysts' expectations of $1.75 billion. During the same quarter in the previous year, the business earned $1.89 EPS. The company's revenue for the quarter was up 20.6% on a year-over-year basis. As a group, research analysts expect that Digital Realty Trust will post 8.40 earnings per share for the current fiscal year.

Wall Street Analyst Weigh In

Several brokerages have issued reports on DLR. BTIG Research upped their target price on Digital Realty Trust from $215.00 to $220.00 and gave the stock a "buy" rating in a research note on Thursday, September 10th. Truist Financial decreased their price target on shares of Digital Realty Trust from $225.00 to $220.00 and set a "buy" rating on the stock in a research note on Thursday, July 30th. Wall Street Zen upgraded shares of Digital Realty Trust from a "sell" rating to a "hold" rating in a report on Saturday, July 25th. Argus raised shares of Digital Realty Trust from a "hold" rating to a "buy" rating and set a $212.00 price objective for the company in a research note on Wednesday, August 5th. Finally, HSBC cut their price objective on shares of Digital Realty Trust from $240.00 to $235.00 and set a "buy" rating for the company in a research note on Wednesday, September 23rd. Two equities research analysts have rated the stock with a Strong Buy rating, twenty-six have issued a Buy rating and six have given a Hold rating to the company's stock. According to data from MarketBeat, Digital Realty Trust presently has a consensus rating of "Moderate Buy" and an average price target of $221.53.

About Digital Realty Trust

Digital Realty Trust, Inc. is a real estate investment trust that owns, operates and develops data centers. Its facilities support customers' IT infrastructure, including the equipment and systems used to store, process and exchange digital information. The company provides data center space and related services, including colocation, interconnection and access to cloud and network providers. Its PlatformDIGITAL offering connects businesses with customers, partners and service providers across its data center portfolio.

This instant news alert was generated by narrative science technology and financial data from MarketBeat in order to provide readers with the fastest reporting and unbiased coverage. Please send any questions or comments about this story to contact@marketbeat.com.