Digital Realty Trust Reports Record 2025 Earnings Performance
Written by Emily J. Thompson, Senior Investment Analyst
Updated: 2d ago
0mins
Should l Buy DLR?
Source: seekingalpha
- Record Financial Performance: Digital Realty Trust achieved a core FFO of $7.39 per share in 2025, marking a 10% increase over 2024, which underscores the company's robust growth momentum in the data center industry and solidifies its market leadership.
- Leasing Performance Breakthrough: The company signed over $1 billion in new leases in 2025, setting a historical record, while the 0 to 1 megawatt interconnection product category established a new quarterly leasing record in Q4, indicating sustained strong market demand.
- Strategic Expansion Initiatives: Digital Realty expanded into Indonesia and Malaysia in the Asia-Pacific region and successfully attracted over $3.2 billion in LP equity commitments, demonstrating its strong appeal in private markets and potential for future growth.
- Optimistic Future Outlook: The company projects core FFO guidance for 2026 to be between $7.90 and $8.00 per share, reflecting an 8% year-over-year growth, while anticipating total revenue and adjusted EBITDA growth of over 10%, indicating sustained strength in its business and balanced investment spending.
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Analyst Views on DLR
Wall Street analysts forecast DLR stock price to rise over the next 12 months. According to Wall Street analysts, the average 1-year price target for DLR is 189.06 USD with a low forecast of 139.00 USD and a high forecast of 220.00 USD. However, analyst price targets are subjective and often lag stock prices, so investors should focus on the objective reasons behind analyst rating changes, which better reflect the company's fundamentals.
18 Analyst Rating
15 Buy
2 Hold
1 Sell
Strong Buy
Current: 164.650
Low
139.00
Averages
189.06
High
220.00
Current: 164.650
Low
139.00
Averages
189.06
High
220.00
About DLR
Digital Realty Trust, Inc. is a real estate investment trust. The Company owns, acquires, develops, and operates data centers through its operating partnership subsidiary, Digital Realty Trust, L.P. The Company is focused on providing data center, colocation, and interconnection solutions for domestic and international customers across a variety of industry verticals ranging from cloud and information technology services, communications and social networking to financial services, manufacturing, energy, healthcare, and consumer products. Its portfolio consists of over 308 data centers, of which 121 are located in the United States, 112 are located in Europe, 36 are located in Latin America, 16 are located in Africa, 16 are located in Asia, six are located in Australia and three are located in Canada. Its PlatformDIGITAL is a global data center platform for scaling digital business which enables customers to deploy their critical infrastructure with a global data center provider.
About the author
Emily J. Thompson
Emily J. Thompson, a Chartered Financial Analyst (CFA) with 12 years in investment research, graduated with honors from the Wharton School. Specializing in industrial and technology stocks, she provides in-depth analysis for Intellectia’s earnings and market brief reports.
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- Record Financial Performance: Digital Realty Trust achieved a core FFO of $7.39 per share in 2025, marking a 10% increase over 2024, which underscores the company's robust growth momentum in the data center industry and solidifies its market leadership.
- Leasing Performance Breakthrough: The company signed over $1 billion in new leases in 2025, setting a historical record, while the 0 to 1 megawatt interconnection product category established a new quarterly leasing record in Q4, indicating sustained strong market demand.
- Strategic Expansion Initiatives: Digital Realty expanded into Indonesia and Malaysia in the Asia-Pacific region and successfully attracted over $3.2 billion in LP equity commitments, demonstrating its strong appeal in private markets and potential for future growth.
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- Record Financial Performance: Digital Realty Trust achieved a core FFO of $7.39 per share in 2025, marking a 10% increase over 2024, which underscores the company's robust growth momentum in the data center industry and solidifies its market leadership.
- Leasing Performance Breakthrough: The company signed over $1 billion in new leases in 2025, setting a historical record, while the 0 to 1 megawatt interconnection product category established a new quarterly leasing record in Q4, indicating sustained strong market demand.
- Strategic Expansion Initiatives: Digital Realty expanded into Indonesia and Malaysia in the Asia-Pacific region and successfully attracted over $3.2 billion in LP equity commitments, demonstrating its strong appeal in private markets and potential for future growth.
- Optimistic Future Outlook: The company projects core FFO guidance for 2026 to be between $7.90 and $8.00 per share, reflecting an 8% year-over-year growth, while anticipating total revenue and adjusted EBITDA growth of over 10%, indicating sustained strength in its business and balanced investment spending.
See More
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- Core FFO Growth: Digital Realty Trust reported a core FFO of $1.86 per share for Q4 2025 and $7.39 for the full year, marking a 10% increase over 2024, indicating robust performance and sustained profitability in the data center sector.
- Record Leasing Performance: The company signed over $1 billion in new leases for 2025, achieving a historic high, with zero to one megawatt interconnection bookings reaching $96 million in Q4, a 7% increase over the previous record, reflecting strong demand for data center capacity.
- Increased Capital Commitments: By the end of 2025, Digital Realty Trust secured over $3.2 billion in LP equity commitments for its inaugural closed-end fund, marking a successful entry into private markets and further supporting its growth strategy for hyperscale data centers.
- Optimistic Future Outlook: The company anticipates an 8% growth in core FFO per share for 2026, setting a guidance range of $7.90 to $8.00, reflecting confidence in the ongoing demand for cloud and AI services while planning to increase capital expenditures by $3.25 billion to $3.75 billion over the next two years.
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