Hansen, Mueller Industries director, sells $105,710 in stock
Investing.com - TD Cowen raised its price target on Digital Realty Trust (NYSE:DLR) to $179.00 from $163.00 on Friday, maintaining a Hold rating on the data center REIT. The stock, currently trading at $177.37, appears overvalued according to InvestingPro analysis, with analyst targets ranging from $141 to $220.
The price target increase follows Digital Realty Trust’s third-quarter 2025 results, which TD Cowen described as "strong" with upside performance, despite slight downside in leasing activity. The company maintains strong financials with a 54.5% gross profit margin and has demonstrated consistent performance, earning a "GOOD" overall financial health rating from InvestingPro, which offers 8 additional key insights about the company.
Digital Realty Trust also raised its full-year 2025 guidance, a positive development that contributed to the analyst’s more optimistic price outlook for the stock.
TD Cowen highlighted management’s comments about a record demand pipeline and strong customer conversations in Charlotte, which the firm views positively for the company’s prospects.
Despite these positive indicators, TD Cowen noted that accelerating Core-FFO per share growth in 2026 appears unlikely, as management pointed to headwinds while maintaining focus on delivering consistent growth over a multi-year period.
In other recent news, Digital Realty Trust reported its third-quarter 2025 earnings, revealing a mixed performance. While the company exceeded revenue expectations with $1.6 billion, surpassing the forecasted $1.53 billion, it fell short on earnings per share (EPS), posting $0.15 against an anticipated $0.31. This represents a 51.61% negative surprise in EPS. Despite this, the company’s quarterly results prompted Stifel to raise its price target from $205 to $210, maintaining a Buy rating. Stifel highlighted strong performance in the 0-1MW and Interconnection categories, although leasing remains subdued due to capacity constraints. Citizens also reiterated its Market Outperform rating for Digital Realty Trust with a price target of $220. The company’s strong performance is noted amidst a market experiencing significant demand for space and power. These developments reflect continued investor interest and confidence in Digital Realty Trust’s long-term prospects.
This article was generated with the support of AI and reviewed by an editor. For more information see our T&C.