WallStSmart

Digital Realty Trust Inc (DLR)vsKite Realty Group Trust (KRG)

VS

Smart Verdict

WallStSmart Research — data-driven comparison

Digital Realty Trust Inc generates 666% more annual revenue ($6.31B vs $823.99M). KRG leads profitability with a 34.7% profit margin vs 21.8%. KRG appears more attractively valued with a PEG of 3.14. DLR earns a higher WallStSmart Score of 61/100 (C+).

DLR

Buy

61

out of 100

Grade: C+

Growth: 8.0Profit: 6.0Value: 2.7Quality: 4.0
Piotroski: 5/9Altman Z: 0.75

KRG

Hold

48

out of 100

Grade: D+

Growth: 2.7Profit: 7.0Value: 6.0Quality: 4.5
Piotroski: 5/9Altman Z: 0.60
IV

Intrinsic Value Comparison

Multi-model valuation · Graham Formula

DLRSignificantly Overvalued (-52.8%)

Margin of Safety

-52.8%

Fair Value

$114.22

Current Price

$186.79

$72.57 premium

UndervaluedFair: $114.22Overvalued
KRGUndervalued (+48.0%)

Margin of Safety

+48.0%

Fair Value

$47.53

Current Price

$27.69

$19.84 discount

UndervaluedFair: $47.53Overvalued

Key Strengths & Concerns

Side-by-side fundamental analysis

Key Strengths

DLR5 strengths · Avg: 8.8/10
EPS GrowthGrowth
67.6%10/10

Earnings expanding 67.6% YoY

Market CapQuality
$66.98B9/10

Large-cap with strong market position

Profit MarginProfitability
21.8%9/10

Keeps 22 of every $100 in revenue as profit

Price/BookValuation
2.9x8/10

Reasonable price relative to book value

Revenue GrowthGrowth
16.7%8/10

16.7% revenue growth

KRG3 strengths · Avg: 8.7/10
Profit MarginProfitability
34.7%10/10

Keeps 35 of every $100 in revenue as profit

Price/BookValuation
2.0x8/10

Reasonable price relative to book value

Operating MarginProfitability
24.1%8/10

Strong operational efficiency at 24.1%

Areas to Watch

DLR4 concerns · Avg: 2.3/10
Return on EquityProfitability
5.9%3/10

ROE of 5.9% — below average capital efficiency

PEG RatioValuation
12.472/10

Expensive relative to growth rate

P/E RatioValuation
49.8x2/10

Premium valuation, high expectations priced in

Altman Z-ScoreHealth
0.752/10

Distress zone — elevated risk

KRG4 concerns · Avg: 2.3/10
Debt/EquityHealth
1.053/10

Elevated debt levels

PEG RatioValuation
3.142/10

Expensive relative to growth rate

Revenue GrowthGrowth
-9.2%2/10

Revenue declined 9.2%

EPS GrowthGrowth
-48.7%2/10

Earnings declined 48.7%

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 21.8% and operating margin at 17.2%. Revenue growth of 16.7% demonstrates continued momentum.

Bull Case : KRG

The strongest argument for KRG centers on Profit Margin, Price/Book, Operating Margin. Profitability is solid with margins at 34.7% and operating margin at 24.1%.

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 : KRG

The primary concerns for KRG are Debt/Equity, PEG Ratio, Revenue Growth.

Key Dynamics to Monitor

DLR profiles as a growth stock while KRG is a declining play — different risk/reward profiles.

DLR carries more volatility with a beta of 1.08 — 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 (61/100 vs 48/100), backed by strong 21.8% margins and 16.7% revenue growth. KRG offers better value entry with a 48.0% margin of safety. Both earn "Buy" and "Hold" 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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Kite Realty Group Trust

REAL ESTATE · REIT - RETAIL · USA

Kite Realty Group Trust is a vertically integrated, full-service real estate investment trust (REIT) that provides communities with convenient and beneficial shopping experiences.

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