WallStSmart

Digital Realty Trust Inc (DLR)vsFirst Industrial Realty Trust Inc (FR)

VS

Smart Verdict

WallStSmart Research — data-driven comparison

Digital Realty Trust Inc generates 703% more annual revenue ($5.84B vs $727.56M). FR leads profitability with a 34.0% profit margin vs 24.0%. FR appears more attractively valued with a PEG of 3.74. DLR earns a higher WallStSmart Score of 59/100 (C).

DLR

Buy

59

out of 100

Grade: C

Growth: 7.3Profit: 5.5Value: 4.0Quality: 5.5
Piotroski: 5/9Altman Z: 0.75

FR

Buy

58

out of 100

Grade: C

Growth: 7.3Profit: 8.0Value: 3.3Quality: 5.0
IV

Intrinsic Value Comparison

Multi-model valuation · Graham Formula

DLRUndervalued (+3.4%)

Margin of Safety

+3.4%

Fair Value

$180.65

Current Price

$175.42

$5.23 discount

UndervaluedFair: $180.65Overvalued
FRFair Value (-2.0%)

Margin of Safety

-2.0%

Fair Value

$58.19

Current Price

$57.18

$1.01 premium

UndervaluedFair: $58.19Overvalued

Key Strengths & Concerns

Side-by-side fundamental analysis

Key Strengths

DLR4 strengths · Avg: 9.0/10
EPS GrowthGrowth
60.3%10/10

Earnings expanding 60.3% YoY

Market CapQuality
$55.29B9/10

Large-cap with strong market position

Profit MarginProfitability
24.0%9/10

Keeps 24 of every $100 in revenue as profit

Price/BookValuation
2.7x8/10

Reasonable price relative to book value

FR3 strengths · Avg: 9.3/10
Profit MarginProfitability
34.0%10/10

Keeps 34 of every $100 in revenue as profit

Operating MarginProfitability
42.1%10/10

Strong operational efficiency at 42.1%

Price/BookValuation
2.8x8/10

Reasonable price relative to book value

Areas to Watch

DLR4 concerns · Avg: 2.5/10
Return on EquityProfitability
5.8%3/10

ROE of 5.8% — below average capital efficiency

Debt/EquityHealth
1.053/10

Elevated debt levels

PEG RatioValuation
16.182/10

Expensive relative to growth rate

P/E RatioValuation
41.0x2/10

Premium valuation, high expectations priced in

FR3 concerns · Avg: 2.7/10
P/E RatioValuation
30.6x4/10

Premium valuation, high expectations priced in

PEG RatioValuation
3.742/10

Expensive relative to growth rate

Free Cash FlowQuality
$-508.18M2/10

Negative free cash flow — burning cash

Comparative Analysis Report

WallStSmart Research

Bull Case : DLR

The strongest argument for DLR centers on EPS Growth, Market Cap, Profit Margin. Profitability is solid with margins at 24.0% and operating margin at 13.3%. Revenue growth of 11.1% demonstrates continued momentum.

Bull Case : FR

The strongest argument for FR centers on Profit Margin, Operating Margin, Price/Book. Profitability is solid with margins at 34.0% and operating margin at 42.1%.

Bear Case : DLR

The primary concerns for DLR are Return on Equity, Debt/Equity, PEG Ratio. A P/E of 41.0x leaves little room for execution misses.

Bear Case : FR

The primary concerns for FR are P/E Ratio, PEG Ratio, Free Cash Flow.

Key Dynamics to Monitor

DLR carries more volatility with a beta of 1.12 — expect wider price swings.

DLR is growing revenue faster at 11.1% — sustainability is the question.

FR generates stronger free cash flow (-508M), providing more financial flexibility.

Monitor REIT - SPECIALTY industry trends, competitive dynamics, and regulatory changes.

Bottom Line

DLR scores higher overall (59/100 vs 58/100), backed by strong 24.0% margins and 11.1% revenue growth. Both earn "Buy" and "Buy" ratings respectively — the choice depends on your investment horizon and risk tolerance.

This analysis is generated from publicly available financial data. Not financial advice.

Digital Realty Trust Inc

REAL ESTATE · REIT - SPECIALTY · USA

Digital Realty Trust, Inc. is a real estate investment trust that invests in carrier-neutral data centers and provides colocation and peering services.

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First Industrial Realty Trust Inc

REAL ESTATE · REIT - INDUSTRIAL · USA

First Industrial Realty Trust, Inc. (NYSE: FR) is a leading fully integrated industrial real estate owner, operator, and developer with a history of providing industry-leading customer service to multinational corporations and regional clients.

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