Digital Realty Trust Inc (DLR)vsInnovative Industrial Properties Inc (IIPR)
DLR
Digital Realty Trust Inc
$196.24
+0.48%
REAL ESTATE · Cap: $69.67B
IIPR
Innovative Industrial Properties Inc
$56.49
-1.40%
REAL ESTATE · Cap: $1.56B
Smart Verdict
WallStSmart Research — data-driven comparison
Digital Realty Trust Inc generates 2274% more annual revenue ($6.31B vs $265.95M). IIPR leads profitability with a 44.5% profit margin vs 21.8%. IIPR trades at a lower P/E of 13.9x. DLR earns a higher WallStSmart Score of 59/100 (C).
DLR
Buy59
out of 100
Grade: C
IIPR
Buy52
out of 100
Grade: C-
Intrinsic Value Comparison
Multi-model valuation · Graham Formula
Margin of Safety
-32.0%
Fair Value
$132.27
Current Price
$196.24
$63.97 premium
Intrinsic value data unavailable for IIPR.
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
16.7% revenue growth
Reasonable price relative to book value
Keeps 45 of every $100 in revenue as profit
Strong operational efficiency at 51.3%
Attractively priced relative to earnings
Areas to Watch
ROE of 5.7% — below average capital efficiency
Elevated debt levels
Expensive relative to growth rate
Premium valuation, high expectations priced in
Smaller company, higher risk/reward
ROE of 6.3% — below average capital efficiency
Revenue declined 13.1%
Earnings declined 22.1%
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 : IIPR
The strongest argument for IIPR centers on Price/Book, Profit Margin, Operating Margin. Profitability is solid with margins at 44.5% and operating margin at 51.3%.
Bear Case : DLR
The primary concerns for DLR are Return on Equity, Debt/Equity, PEG Ratio. A P/E of 51.5x leaves little room for execution misses.
Bear Case : IIPR
The primary concerns for IIPR are Market Cap, Return on Equity, Revenue Growth.
Key Dynamics to Monitor
DLR profiles as a growth stock while IIPR is a declining play — different risk/reward profiles.
IIPR carries more volatility with a beta of 1.45 — expect wider price swings.
DLR is growing revenue faster at 16.7% — sustainability is the question.
DLR generates stronger free cash flow (532M), providing more financial flexibility.
Bottom Line
DLR scores higher overall (59/100 vs 52/100), backed by strong 21.8% margins and 16.7% 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.
Visit Website →Innovative Industrial Properties Inc
REAL ESTATE · REIT - INDUSTRIAL · USA
Innovative Industrial Properties, Inc. is a self-advising Maryland corporation focused on acquiring, owning, and managing specialty properties leased to experienced state-licensed operators for their regulated medical cannabis facilities.
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