No connection

Search Results

DLR vs IRT

DLR
Digital Realty Trust, Inc.
BEARISH
Price
$200.86
Market Cap
$71.33B
Sector
Real Estate
AI Confidence
85%
IRT
Independence Realty Trust, Inc.
BEARISH
Price
$16.32
Market Cap
$3.97B
Sector
Real Estate
AI Confidence
85%

Valuation

P/E Ratio
DLR
56.11
IRT
68.0
Forward P/E
DLR
62.06
IRT
96.0
P/B Ratio
DLR
3.11
IRT
1.12
P/S Ratio
DLR
11.73
IRT
5.94
EV/EBITDA
DLR
31.83
IRT
16.64

Profitability

Gross Margin
DLR
55.16%
IRT
61.09%
Operating Margin
DLR
14.15%
IRT
22.38%
Profit Margin
DLR
21.52%
IRT
8.46%
ROE
DLR
5.47%
IRT
1.61%
ROA
DLR
1.18%
IRT
1.37%

Growth

Revenue Growth
DLR
17.1%
IRT
3.6%
Earnings Growth
DLR
-53.4%
IRT
--

Financial Health

Debt/Equity
DLR
0.82
IRT
0.64
Current Ratio
DLR
1.3
IRT
0.28
Quick Ratio
DLR
1.22
IRT
0.07

Dividends

Dividend Yield
DLR
2.43%
IRT
4.17%
Payout Ratio
DLR
136.31%
IRT
279.17%

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)
IRT BEARISH

IRT exhibits significant fundamental weakness, anchored by a mediocre Piotroski F-Score of 4/9 and a severe valuation disconnect, with the current price ($16.32) trading far above both the Graham Number ($8.88) and the Intrinsic Value ($1.68). While the debt-to-equity ratio is manageable, the company faces a critical liquidity crisis evidenced by a Current Ratio of 0.28 and a Quick Ratio of 0.07. Most alarmingly, the dividend is unsustainable with a payout ratio of 279.17%, suggesting the yield is being funded by capital or debt rather than earnings. Despite bullish analyst targets, the combination of insider selling and deteriorating liquidity suggests a high risk of a price correction.

Strengths
Low Debt/Equity ratio (0.64) compared to sector average (2.41)
Positive 5-year price performance (+17.1%)
Strong gross margins (61.09%)
Risks
Extreme liquidity risk (Quick Ratio of 0.07)
Unsustainable dividend payout ratio (279.17%)
Severe overvaluation relative to Graham Number and Intrinsic Value

Compare Another Pair

DLR vs IRT: Head-to-Head Comparison

This page compares Digital Realty Trust, Inc. (DLR) and Independence Realty Trust, Inc. (IRT) 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.

Home
Terminal
AI Chat
Markets
Profile