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DLR vs EFC

DLR
Digital Realty Trust, Inc.
BEARISH
Price
$200.86
Market Cap
$71.33B
Sector
Real Estate
AI Confidence
85%
EFC
Ellington Financial Inc.
BEARISH
Price
$13.14
Market Cap
$1.64B
Sector
Real Estate
AI Confidence
85%

Valuation

P/E Ratio
DLR
56.11
EFC
11.04
Forward P/E
DLR
62.06
EFC
6.9
P/B Ratio
DLR
3.11
EFC
0.99
P/S Ratio
DLR
11.73
EFC
4.97
EV/EBITDA
DLR
31.83
EFC
--

Profitability

Gross Margin
DLR
55.16%
EFC
100.0%
Operating Margin
DLR
14.15%
EFC
32.09%
Profit Margin
DLR
21.52%
EFC
44.59%
ROE
DLR
5.47%
EFC
8.71%
ROA
DLR
1.18%
EFC
0.84%

Growth

Revenue Growth
DLR
17.1%
EFC
-0.6%
Earnings Growth
DLR
-53.4%
EFC
-45.3%

Financial Health

Debt/Equity
DLR
0.82
EFC
9.1
Current Ratio
DLR
1.3
EFC
8.95
Quick Ratio
DLR
1.22
EFC
8.87

Dividends

Dividend Yield
DLR
2.43%
EFC
11.87%
Payout Ratio
DLR
136.31%
EFC
131.09%

AI Verdict

DLR BEARISH

DLR presents a concerning divergence between market price and fundamental value, anchored by a stable but mediocre Piotroski F-Score of 4/9. While revenue growth is robust at 17.1%, the company is experiencing a severe earnings collapse (-53.4% YoY) and an unsustainable dividend payout ratio of 136.31%. The stock trades at a massive premium to its Graham Number ($72.14) and Intrinsic Value ($25.06), with a PEG ratio of 19.01 signaling extreme overvaluation. Despite analyst 'Buy' recommendations, the deterministic data suggests the current price is driven by sector hype rather than financial performance.

Strengths
Strong top-line revenue growth of 17.10% YoY
Healthy gross margins at 55.16%
Manageable Debt/Equity ratio of 0.82 compared to sector average
Risks
Unsustainable dividend payout ratio (136.31%) indicating dividends exceed earnings
Severe contraction in earnings growth (-53.4% YoY)
Extreme valuation metrics (P/E of 56.11 and PEG of 19.01)
EFC BEARISH

EFC exhibits severe fundamental weakness, highlighted by a Piotroski F-Score of 2/9, indicating poor financial health. While the Graham Number ($18.86) suggests defensive value, this is offset by an unsustainable dividend payout ratio of 131.09% and a crashing YoY earnings growth of -45.30%. The company's extreme leverage (Debt/Equity of 9.10) and bearish technical trend (0/100) outweigh the optimistic analyst target prices. Overall, the stock presents as a classic dividend trap with deteriorating core profitability.

Strengths
Trading slightly below book value (P/B 0.99)
Strong profit margins (44.59%)
Positive analyst sentiment with a 'Buy' consensus
Risks
Unsustainable dividend payout ratio (131.09%)
Extreme financial leverage (Debt/Equity 9.10)
Severe earnings contraction (-45.30% YoY)

Compare Another Pair

DLR vs EFC: Head-to-Head Comparison

This page compares Digital Realty Trust, Inc. (DLR) and Ellington Financial Inc. (EFC) across key fundamental metrics including valuation ratios, profitability margins, growth rates, financial health indicators, and dividend metrics. Each metric highlights the better-performing stock so you can quickly identify relative strengths and weaknesses.

Our AI engine independently analyzes each company's financials, competitive position, and market conditions to produce a verdict (Bullish, Neutral, or Bearish) along with key strengths and risks. Use this comparison alongside your own research to make informed investment decisions.

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