Overview

• Digital Realty Q3 revenue grows 10% yr/yr to $1.6 bln

• Core FFO per share for Q3 rises to $1.89

• Company raises 2025 Core FFO outlook, indicating confidence in growth

Outlook

• Digital Realty raises 2025 Core FFO per share outlook to $7.32 - $7.38

• Digital Realty sees strong backlog providing visibility into 2026

Result Drivers

• RENEWAL LEASES - Rental rates on renewal leases increased by 8.0% on a cash basis, contributing to revenue growth

• LEASING ACTIVITY - Total bookings expected to generate $201 mln of annualized GAAP rental revenue, indicating strong demand

• ENTERPRISE DEMAND - Robust demand for 0-1 megawatt plus interconnection offerings supported growth

Key Details

Analyst Coverage

• The current average analyst rating on the shares is "buy" and the breakdown of recommendations is 21 "strong buy" or "buy", 8 "hold" and 1 "sell" or "strong sell"

• The average consensus recommendation for the specialized reits peer group is "buy"

• Wall Street's median 12-month price target for Digital Realty Trust Inc is $200.00, about 14.2% above its October 21 closing price of $171.63

• The stock recently traded at 82 times the next 12-month earnings vs. a P/E of 111 three months ago

Press Release: ID:nPn1PX6y4a

For questions concerning the data in this report, contact Estimates.Support@lseg.com. For any other questions or feedback, contact RefinitivNewsSupport@thomsonreuters.com.

(This story was created using Reuters automation and AI based on LSEG and company data. It was checked and edited by a Reuters journalist prior to publication.)