WallStSmart

Digital Realty Trust Inc (DLR)vsSabra Healthcare REIT Inc (SBRA)

VS

Smart Verdict

WallStSmart Research — data-driven comparison

Digital Realty Trust Inc generates 714% more annual revenue ($6.31B vs $775.76M). DLR leads profitability with a 21.8% profit margin vs 20.1%. SBRA appears more attractively valued with a PEG of 5.28. DLR earns a higher WallStSmart Score of 61/100 (C+).

DLR

Buy

61

out of 100

Grade: C+

Growth: 8.0Profit: 6.0Value: 2.0Quality: 5.5
Piotroski: 5/9Altman Z: 0.75

SBRA

Buy

57

out of 100

Grade: C

Growth: 5.3Profit: 6.5Value: 5.3Quality: 5.3
Piotroski: 5/9Altman Z: 0.46
IV

Intrinsic Value Comparison

Multi-model valuation · Graham Formula

DLRSignificantly Overvalued (-31.8%)

Margin of Safety

-31.8%

Fair Value

$132.50

Current Price

$200.94

$68.44 premium

UndervaluedFair: $132.50Overvalued
SBRAUndervalued (+84.7%)

Margin of Safety

+84.7%

Fair Value

$127.86

Current Price

$20.35

$107.51 discount

UndervaluedFair: $127.86Overvalued

Key Strengths & Concerns

Side-by-side fundamental analysis

Key Strengths

DLR4 strengths · Avg: 9.0/10
EPS GrowthGrowth
69.4%10/10

Earnings expanding 69.4% YoY

Market CapQuality
$71.36B9/10

Large-cap with strong market position

Profit MarginProfitability
21.8%9/10

Keeps 22 of every $100 in revenue as profit

Revenue GrowthGrowth
16.7%8/10

16.7% revenue growth

SBRA4 strengths · Avg: 8.3/10
Profit MarginProfitability
20.1%9/10

Keeps 20 of every $100 in revenue as profit

Price/BookValuation
1.8x8/10

Reasonable price relative to book value

Operating MarginProfitability
23.7%8/10

Strong operational efficiency at 23.7%

Revenue GrowthGrowth
15.8%8/10

15.8% revenue growth

Areas to Watch

DLR4 concerns · Avg: 2.5/10
Return on EquityProfitability
5.7%3/10

ROE of 5.7% — below average capital efficiency

Debt/EquityHealth
1.053/10

Elevated debt levels

PEG RatioValuation
12.572/10

Expensive relative to growth rate

P/E RatioValuation
53.2x2/10

Premium valuation, high expectations priced in

SBRA4 concerns · Avg: 2.8/10
P/E RatioValuation
31.8x4/10

Premium valuation, high expectations priced in

Return on EquityProfitability
5.6%3/10

ROE of 5.6% — below average capital efficiency

PEG RatioValuation
5.282/10

Expensive relative to growth rate

EPS GrowthGrowth
-44.7%2/10

Earnings declined 44.7%

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 21.8% and operating margin at 17.4%. Revenue growth of 16.7% demonstrates continued momentum.

Bull Case : SBRA

The strongest argument for SBRA centers on Profit Margin, Price/Book, Operating Margin. Profitability is solid with margins at 20.1% and operating margin at 23.7%. Revenue growth of 15.8% demonstrates continued momentum.

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 : SBRA

The primary concerns for SBRA are P/E Ratio, Return on Equity, PEG Ratio.

Key Dynamics to Monitor

DLR carries more volatility with a beta of 1.09 — expect wider price swings.

DLR is growing revenue faster at 16.7% — sustainability is the question.

SBRA generates stronger free cash flow (87M), providing more financial flexibility.

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

Bottom Line

DLR scores higher overall (61/100 vs 57/100), backed by strong 21.8% margins and 16.7% revenue growth. SBRA offers better value entry with a 84.7% margin of safety. 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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Sabra Healthcare REIT Inc

REAL ESTATE · REIT - HEALTHCARE FACILITIES · USA

As of September 30, 2020, Sabra's investment portfolio included 425 real estate properties held for investment (consisting of (i) 287 skilled nursing / transitional care facilities, (ii) 64 senior housing communities (?

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