Digital Realty Trust Inc (DLR)vsFortinet Inc (FTNT)
DLR
Digital Realty Trust Inc
$186.79
-1.01%
REAL ESTATE · Cap: $66.98B
FTNT
Fortinet Inc
$149.67
+0.85%
TECHNOLOGY · Cap: $109.06B
Smart Verdict
WallStSmart Research — data-driven comparison
Fortinet Inc generates 13% more annual revenue ($7.11B vs $6.31B). FTNT leads profitability with a 27.5% profit margin vs 21.8%. FTNT appears more attractively valued with a PEG of 3.32. FTNT earns a higher WallStSmart Score of 67/100 (B-).
DLR
Buy61
out of 100
Grade: C+
FTNT
Strong Buy67
out of 100
Grade: B-
Intrinsic Value Comparison
Multi-model valuation · Graham Formula
Margin of Safety
-52.8%
Fair Value
$114.22
Current Price
$186.79
$72.57 premium
Margin of Safety
+45.4%
Fair Value
$265.15
Current Price
$149.67
$115.48 discount
Key Strengths & Concerns
Side-by-side fundamental analysis
Key Strengths
Earnings expanding 67.6% YoY
Large-cap with strong market position
Keeps 22 of every $100 in revenue as profit
Reasonable price relative to book value
16.7% revenue growth
Every $100 of equity generates 197 in profit
Strong operational efficiency at 31.3%
Large-cap with strong market position
Keeps 28 of every $100 in revenue as profit
Revenue surging 20.1% year-over-year
Earnings expanding 28.6% YoY
Areas to Watch
ROE of 5.9% — below average capital efficiency
Expensive relative to growth rate
Premium valuation, high expectations priced in
Distress zone — elevated risk
Distress zone — elevated risk
Expensive relative to growth rate
Premium valuation, high expectations priced in
Trading at 110.9x book value
Comparative Analysis Report
WallStSmart ResearchBull Case : DLR
The strongest argument for DLR centers on EPS Growth, Market Cap, Profit Margin. Profitability is solid with margins at 21.8% and operating margin at 17.2%. Revenue growth of 16.7% demonstrates continued momentum.
Bull Case : FTNT
The strongest argument for FTNT centers on Return on Equity, Operating Margin, Market Cap. Profitability is solid with margins at 27.5% and operating margin at 31.3%. Revenue growth of 20.1% demonstrates continued momentum.
Bear Case : DLR
The primary concerns for DLR are Return on Equity, PEG Ratio, P/E Ratio. A P/E of 49.8x leaves little room for execution misses.
Bear Case : FTNT
The primary concerns for FTNT are Altman Z-Score, PEG Ratio, P/E Ratio. A P/E of 57.7x leaves little room for execution misses.
Key Dynamics to Monitor
DLR carries more volatility with a beta of 1.08 — expect wider price swings.
FTNT is growing revenue faster at 20.1% — sustainability is the question.
FTNT generates stronger free cash flow (1.0B), providing more financial flexibility.
Monitor REIT - SPECIALTY industry trends, competitive dynamics, and regulatory changes.
Bottom Line
FTNT scores higher overall (67/100 vs 61/100), backed by strong 27.5% margins and 20.1% revenue growth. Both earn "Strong 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.
Visit Website →Fortinet Inc
TECHNOLOGY · SOFTWARE - INFRASTRUCTURE · USA
Fortinet (Nasdaq: FTNT) is an American multinational corporation headquartered in Sunnyvale, California. It develops and sells cybersecurity solutions, including but not limited to physical products such as firewalls, plus software and services such as anti-virus protection, intrusion prevention systems and endpoint security components.
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