WallStSmart

Digital Realty Trust Inc (DLR)vsTerreno Realty Corporation (TRNO)

VS

Smart Verdict

WallStSmart Research — data-driven comparison

Digital Realty Trust Inc generates 1225% more annual revenue ($6.31B vs $476.38M). TRNO leads profitability with a 84.6% profit margin vs 21.8%. TRNO appears more attractively valued with a PEG of 7.15. TRNO earns a higher WallStSmart Score of 72/100 (B).

DLR

Buy

59

out of 100

Grade: C

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

TRNO

Strong Buy

72

out of 100

Grade: B

Growth: 9.3Profit: 7.5Value: 6.7Quality: 5.3
Piotroski: 5/9Altman Z: 2.37
IV

Intrinsic Value Comparison

Multi-model valuation · Graham Formula

DLRSignificantly Overvalued (-32.2%)

Margin of Safety

-32.2%

Fair Value

$132.05

Current Price

$195.31

$63.26 premium

UndervaluedFair: $132.05Overvalued
TRNOUndervalued (+69.4%)

Margin of Safety

+69.4%

Fair Value

$214.06

Current Price

$66.21

$147.85 discount

UndervaluedFair: $214.06Overvalued

Key Strengths & Concerns

Side-by-side fundamental analysis

Key Strengths

DLR4 strengths · Avg: 9.0/10
EPS GrowthGrowth
67.6%10/10

Earnings expanding 67.6% YoY

Market CapQuality
$69.67B9/10

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

TRNO6 strengths · Avg: 9.3/10
Profit MarginProfitability
84.6%10/10

Keeps 85 of every $100 in revenue as profit

Operating MarginProfitability
42.0%10/10

Strong operational efficiency at 42.0%

Revenue GrowthGrowth
32.6%10/10

Revenue surging 32.6% year-over-year

EPS GrowthGrowth
99.6%10/10

Earnings expanding 99.6% YoY

P/E RatioValuation
16.2x8/10

Attractively priced relative to earnings

Price/BookValuation
1.7x8/10

Reasonable price relative to book value

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
12.712/10

Expensive relative to growth rate

P/E RatioValuation
51.5x2/10

Premium valuation, high expectations priced in

TRNO1 concerns · Avg: 2.0/10
PEG RatioValuation
7.152/10

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 21.8% and operating margin at 17.2%. Revenue growth of 16.7% demonstrates continued momentum.

Bull Case : TRNO

The strongest argument for TRNO centers on Profit Margin, Operating Margin, Revenue Growth. Profitability is solid with margins at 84.6% and operating margin at 42.0%. Revenue growth of 32.6% demonstrates continued momentum.

Bear Case : DLR

The primary concerns for DLR are Return on Equity, Debt/Equity, PEG Ratio. A P/E of 51.5x leaves little room for execution misses.

Bear Case : TRNO

The primary concerns for TRNO are PEG Ratio.

Key Dynamics to Monitor

DLR carries more volatility with a beta of 1.08 — expect wider price swings.

TRNO is growing revenue faster at 32.6% — sustainability is the question.

DLR generates stronger free cash flow (532M), providing more financial flexibility.

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

Bottom Line

TRNO scores higher overall (72/100 vs 59/100), backed by strong 84.6% margins and 32.6% revenue growth. Both earn "Strong 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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Terreno Realty Corporation

REAL ESTATE · REIT - INDUSTRIAL · USA

Terreno Realty Corporation and together with its subsidiaries, the?

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