Hsbc Holdings PLC Trims Stake in Digital Realty Trust, Inc. $DLR

Key Points

• HSBC Holdings PLC has reduced its stake in Digital Realty Trust by 12.5%, now owning 1,078,703 shares valued at approximately $154.46 million.
• Digital Realty Trust reported $1.87 earnings per share for the most recent quarter, surpassing estimates and indicating a revenue increase of 10% year-over-year.
• The company has declared a quarterly dividend of $1.22, with an annualized basis dividend yield of 2.9%, despite a high payout ratio of 128.08%.

Hsbc Holdings PLC reduced its stake in shares of Digital Realty Trust, Inc. (NYSE:DLR - Free Report) by 12.5% in the 1st quarter, according to the company in its most recent disclosure with the Securities and Exchange Commission. The institutional investor owned 1,078,703 shares of the real estate investment trust's stock after selling 154,581 shares during the quarter. Hsbc Holdings PLC owned 0.32% of Digital Realty Trust worth $154,460,000 at the end of the most recent reporting period.

Other institutional investors also recently bought and sold shares of the company. Greykasell Wealth Strategies Inc. purchased a new position in Digital Realty Trust during the first quarter valued at approximately $26,000. Key Financial Inc raised its position in Digital Realty Trust by 114.0% during the first quarter. Key Financial Inc now owns 259 shares of the real estate investment trust's stock valued at $37,000 after acquiring an additional 138 shares in the last quarter. GKV Capital Management Co. Inc. purchased a new position in Digital Realty Trust during the first quarter valued at approximately $38,000. Opal Wealth Advisors LLC purchased a new position in Digital Realty Trust during the first quarter valued at approximately $38,000. Finally, Colonial Trust Co SC raised its position in Digital Realty Trust by 33.8% during the fourth quarter. Colonial Trust Co SC now owns 285 shares of the real estate investment trust's stock valued at $51,000 after acquiring an additional 72 shares in the last quarter. 99.71% of the stock is currently owned by hedge funds and other institutional investors.

Digital Realty Trust Stock Performance

Shares of NYSE:DLR opened at $166.4760 on Wednesday. The company has a debt-to-equity ratio of 0.82, a current ratio of 2.22 and a quick ratio of 2.22. The business's 50 day moving average price is $173.21 and its 200-day moving average price is $163.55. The firm has a market capitalization of $56.78 billion, a PE ratio of 43.69, a P/E/G ratio of 4.75 and a beta of 0.92. Digital Realty Trust, Inc. has a 1 year low of $129.95 and a 1 year high of $198.00.

Digital Realty Trust (NYSE:DLR - Get Free Report) last issued its quarterly earnings results on Thursday, July 24th. The real estate investment trust reported $1.87 earnings per share (EPS) for the quarter, topping analysts' consensus estimates of $1.74 by $0.13. The firm had revenue of $1.49 billion for the quarter, compared to analyst estimates of $1.44 billion. Digital Realty Trust had a return on equity of 6.46% and a net margin of 23.98%.The business's revenue was up 10.0% on a year-over-year basis. During the same period in the previous year, the company posted $1.65 earnings per share. Digital Realty Trust has set its FY 2025 guidance at 7.150-7.250 EPS. As a group, equities research analysts expect that Digital Realty Trust, Inc. will post 7.07 earnings per share for the current fiscal year.

Digital Realty Trust Dividend Announcement

The company also recently declared a quarterly dividend, which will be paid on Tuesday, September 30th. Stockholders of record on Monday, September 15th will be paid a $1.22 dividend. The ex-dividend date of this dividend is Monday, September 15th. This represents a $4.88 dividend on an annualized basis and a dividend yield of 2.9%. Digital Realty Trust's payout ratio is currently 128.08%.

Wall Street Analysts Forecast Growth

DLR has been the subject of several recent research reports. Mizuho lifted their price target on Digital Realty Trust from $177.00 to $191.00 and gave the company an "outperform" rating in a research report on Tuesday, June 17th. New Street Research upgraded Digital Realty Trust to a "hold" rating in a research report on Monday, April 28th. Citigroup restated a "buy" rating and issued a $200.00 price objective (up from $174.00) on shares of Digital Realty Trust in a research report on Monday, July 28th. Wall Street Zen upgraded Digital Realty Trust from a "sell" rating to a "hold" rating in a research report on Sunday, June 1st. Finally, Stifel Nicolaus boosted their price objective on Digital Realty Trust from $190.00 to $205.00 and gave the company a "buy" rating in a research report on Friday, July 25th. Two research analysts have rated the stock with a Strong Buy rating, fifteen have issued a Buy rating, five have given a Hold rating and one has given a Sell rating to the company. According to MarketBeat.com, the company presently has a consensus rating of "Moderate Buy" and a consensus target price of $190.68.

Insider Activity

In other news, Director Mark R. Patterson sold 175 shares of Digital Realty Trust stock in a transaction that occurred on Thursday, June 5th. The stock was sold at an average price of $176.50, for a total value of $30,887.50. Following the sale, the director directly owned 6,522 shares of the company's stock, valued at $1,151,133. The trade was a 2.61% decrease in their ownership of the stock. The sale was disclosed in a legal filing with the SEC, which is available at this link. 0.17% of the stock is owned by corporate insiders.

About Digital Realty Trust

Digital Realty Trust, Inc operates as a real estate investment trust, which engages in the provision of data center, colocation and interconnection solutions. It serves the following industries: artificial intelligence (AI), networks, cloud, digital media, mobile, financial services, healthcare, and gaming.

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