WallStSmart

Digital Realty Trust Inc (DLR)vsEquinix Inc (EQIX)

VS

Smart Verdict

WallStSmart Research — data-driven comparison

Equinix Inc generates 59% more annual revenue ($9.26B vs $5.84B). DLR leads profitability with a 24.0% profit margin vs 14.6%. EQIX appears more attractively valued with a PEG of 4.33. DLR earns a higher WallStSmart Score of 59/100 (C).

DLR

Buy

59

out of 100

Grade: C

Growth: 7.3Profit: 5.5Value: 6.0Quality: 7.0
Piotroski: 5/9Altman Z: 0.75

EQIX

Buy

50

out of 100

Grade: C-

Growth: 6.7Profit: 6.5Value: 2.0Quality: 5.0
Piotroski: 3/9Altman Z: 0.55
IV

Intrinsic Value Comparison

Multi-model valuation · Graham Formula

DLRUndervalued (+3.4%)

Margin of Safety

+3.4%

Fair Value

$180.65

Current Price

$176.43

$4.22 discount

UndervaluedFair: $180.65Overvalued
EQIXSignificantly Overvalued (-45.5%)

Margin of Safety

-45.5%

Fair Value

$596.43

Current Price

$965.95

$369.52 premium

UndervaluedFair: $596.43Overvalued

Key Strengths & Concerns

Side-by-side fundamental analysis

Key Strengths

DLR4 strengths · Avg: 9.0/10
EPS GrowthGrowth
60.3%10/10

Earnings expanding 60.3% YoY

Market CapQuality
$55.29B9/10

Large-cap with strong market position

Profit MarginProfitability
24.0%9/10

Keeps 24 of every $100 in revenue as profit

Price/BookValuation
2.7x8/10

Reasonable price relative to book value

EQIX3 strengths · Avg: 8.3/10
Market CapQuality
$94.77B9/10

Large-cap with strong market position

Operating MarginProfitability
21.5%8/10

Strong operational efficiency at 21.5%

EPS GrowthGrowth
22.9%8/10

Earnings expanding 22.9% YoY

Areas to Watch

DLR4 concerns · Avg: 2.5/10
Return on EquityProfitability
5.8%3/10

ROE of 5.8% — below average capital efficiency

Debt/EquityHealth
1.053/10

Elevated debt levels

PEG RatioValuation
16.182/10

Expensive relative to growth rate

P/E RatioValuation
41.0x2/10

Premium valuation, high expectations priced in

EQIX4 concerns · Avg: 2.5/10
Debt/EquityHealth
1.613/10

Elevated debt levels

Piotroski F-ScoreQuality
3/93/10

Weak financial health signals

PEG RatioValuation
4.332/10

Expensive relative to growth rate

P/E RatioValuation
70.3x2/10

Premium valuation, high expectations priced in

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 24.0% and operating margin at 13.3%. Revenue growth of 11.1% demonstrates continued momentum.

Bull Case : EQIX

The strongest argument for EQIX centers on Market Cap, Operating Margin, EPS Growth.

Bear Case : DLR

The primary concerns for DLR are Return on Equity, Debt/Equity, PEG Ratio. A P/E of 41.0x leaves little room for execution misses.

Bear Case : EQIX

The primary concerns for EQIX are Debt/Equity, Piotroski F-Score, PEG Ratio. A P/E of 70.3x leaves little room for execution misses. Debt-to-equity of 1.61 is elevated, increasing financial risk.

Key Dynamics to Monitor

DLR profiles as a mature stock while EQIX is a value play — different risk/reward profiles.

DLR carries more volatility with a beta of 1.12 — expect wider price swings.

DLR is growing revenue faster at 11.1% — sustainability is the question.

EQIX generates stronger free cash flow (-292M), providing more financial flexibility.

Bottom Line

DLR scores higher overall (59/100 vs 50/100), backed by strong 24.0% margins and 11.1% revenue growth. Both earn "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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Equinix Inc

REAL ESTATE · REIT - SPECIALTY · USA

Equinix, Inc. is an American multinational company headquartered in Redwood City, California, that specializes in Internet connection and data centers.

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