Digital Realty Trust Inc (DLR)vsNexpoint Residential Trust Inc (NXRT)
DLR
Digital Realty Trust Inc
$200.70
-0.12%
REAL ESTATE · Cap: $71.36B
NXRT
Nexpoint Residential Trust Inc
$28.92
+0.10%
REAL ESTATE · Cap: $1.49B
Smart Verdict
WallStSmart Research — data-driven comparison
Digital Realty Trust Inc generates 2407% more annual revenue ($6.31B vs $251.88M). DLR leads profitability with a 21.8% profit margin vs -12.7%. DLR appears more attractively valued with a PEG of 12.57. DLR earns a higher WallStSmart Score of 61/100 (C+).
DLR
Buy61
out of 100
Grade: C+
NXRT
Hold42
out of 100
Grade: D
Intrinsic Value Comparison
Multi-model valuation · Graham Formula
Margin of Safety
-31.5%
Fair Value
$132.74
Current Price
$200.70
$67.96 premium
Margin of Safety
+53.9%
Fair Value
$67.68
Current Price
$28.92
$38.76 discount
Key Strengths & Concerns
Side-by-side fundamental analysis
Key Strengths
Earnings expanding 69.4% YoY
Large-cap with strong market position
Keeps 22 of every $100 in revenue as profit
16.7% revenue growth
Earnings expanding 371.8% YoY
Reasonable price relative to book value
Areas to Watch
ROE of 5.7% — below average capital efficiency
Elevated debt levels
Expensive relative to growth rate
Premium valuation, high expectations priced in
0.5% revenue growth
Smaller company, higher risk/reward
Expensive relative to growth rate
ROE of -9.7% — below average capital efficiency
Comparative Analysis Report
WallStSmart ResearchBull Case : DLR
The strongest argument for DLR centers on EPS Growth, Market Cap, Profit Margin. Profitability is solid with margins at 21.8% and operating margin at 17.4%. Revenue growth of 16.7% demonstrates continued momentum.
Bull Case : NXRT
The strongest argument for NXRT centers on EPS Growth, Price/Book.
Bear Case : DLR
The primary concerns for DLR are Return on Equity, Debt/Equity, PEG Ratio. A P/E of 53.2x leaves little room for execution misses.
Bear Case : NXRT
The primary concerns for NXRT are Revenue Growth, Market Cap, PEG Ratio.
Key Dynamics to Monitor
DLR profiles as a growth stock while NXRT is a turnaround play — different risk/reward profiles.
NXRT carries more volatility with a beta of 1.19 — expect wider price swings.
DLR is growing revenue faster at 16.7% — sustainability is the question.
NXRT generates stronger free cash flow (23M), providing more financial flexibility.
Bottom Line
DLR scores higher overall (61/100 vs 42/100), backed by strong 21.8% margins and 16.7% revenue growth. NXRT offers better value entry with a 53.9% margin of safety. Both earn "Buy" and "Hold" 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.
Visit Website →Nexpoint Residential Trust Inc
REAL ESTATE · REIT - RESIDENTIAL · USA
NexPoint Residential Trust is a publicly traded REIT, with its shares listed on the New York Stock Exchange under the symbol NXRT, primarily focused on acquiring, owning and operating well-located middle-income multifamily properties with value-added potential in large cities and suburbs. Submarkets in large cities, mainly in the southeastern and southwestern United States.
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