WallStSmart

Digital Realty Trust Inc (DLR)vsPublic Storage (PSA)

VS

Smart Verdict

WallStSmart Research — data-driven comparison

Digital Realty Trust Inc generates 21% more annual revenue ($5.84B vs $4.83B). PSA leads profitability with a 36.9% profit margin vs 24.0%. PSA appears more attractively valued with a PEG of 3.87. 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

PSA

Buy

50

out of 100

Grade: C-

Growth: 3.3Profit: 8.5Value: 3.3Quality: 4.3
Piotroski: 4/9Altman Z: 1.13
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
PSASignificantly Overvalued (-379.0%)

Margin of Safety

-379.0%

Fair Value

$61.34

Current Price

$266.01

$204.67 premium

UndervaluedFair: $61.34Overvalued

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

PSA2 strengths · Avg: 10.0/10
Profit MarginProfitability
36.9%10/10

Keeps 37 of every $100 in revenue as profit

Operating MarginProfitability
46.2%10/10

Strong operational efficiency at 46.2%

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

PSA4 concerns · Avg: 3.5/10
P/E RatioValuation
29.5x4/10

Moderate valuation

Price/BookValuation
9.5x4/10

Trading at 9.5x book value

Revenue GrowthGrowth
3.3%4/10

3.3% revenue growth

PEG RatioValuation
3.872/10

Expensive relative to growth rate

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 : PSA

The strongest argument for PSA centers on Profit Margin, Operating Margin. Profitability is solid with margins at 36.9% and operating margin at 46.2%.

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 : PSA

The primary concerns for PSA are P/E Ratio, Price/Book, Revenue Growth.

Key Dynamics to Monitor

DLR profiles as a mature stock while PSA is a value play — different risk/reward profiles.

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.

PSA generates stronger free cash flow (634M), providing more financial flexibility.

Bottom Line

DLR scores higher overall (59/100 vs 50/100), 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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Public Storage

REAL ESTATE · REIT - INDUSTRIAL · USA

Public Storage is an American international self storage company headquartered in Glendale, California, that is run as a real estate investment trust (REIT).

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