Digital Realty Trust Inc (DLR)vsNetflix Inc (NFLX)
DLR
Digital Realty Trust Inc
$194.56
-0.01%
REAL ESTATE · Cap: $69.78B
NFLX
Netflix Inc
$92.12
+1.62%
COMMUNICATION SERVICES · Cap: $388.89B
Smart Verdict
WallStSmart Research — data-driven comparison
Netflix Inc generates 643% more annual revenue ($46.89B vs $6.31B). NFLX leads profitability with a 28.5% profit margin vs 21.8%. NFLX appears more attractively valued with a PEG of 1.82. NFLX earns a higher WallStSmart Score of 72/100 (B).
DLR
Buy59
out of 100
Grade: C
NFLX
Strong Buy72
out of 100
Grade: B
Intrinsic Value Comparison
Multi-model valuation · Graham Formula
Margin of Safety
-31.8%
Fair Value
$132.50
Current Price
$194.56
$62.06 premium
Margin of Safety
-63.6%
Fair Value
$56.31
Current Price
$92.12
$35.81 premium
Key Strengths & Concerns
Side-by-side fundamental analysis
Key Strengths
Earnings expanding 69.4% 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
Mega-cap, among the largest globally
Every $100 of equity generates 49 in profit
Strong operational efficiency at 32.3%
Earnings expanding 86.4% YoY
Safe zone — low bankruptcy risk
Keeps 29 of every $100 in revenue as profit
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
Expensive relative to growth rate
Moderate valuation
Trading at 14.6x 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 17.4%. Revenue growth of 16.7% demonstrates continued momentum.
Bull Case : NFLX
The strongest argument for NFLX centers on Market Cap, Return on Equity, Operating Margin. Profitability is solid with margins at 28.5% and operating margin at 32.3%. Revenue growth of 16.2% demonstrates continued momentum.
Bear Case : DLR
The primary concerns for DLR are Return on Equity, Debt/Equity, PEG Ratio. A P/E of 52.9x leaves little room for execution misses.
Bear Case : NFLX
The primary concerns for NFLX are PEG Ratio, P/E Ratio, Price/Book.
Key Dynamics to Monitor
NFLX carries more volatility with a beta of 1.67 — expect wider price swings.
DLR is growing revenue faster at 16.7% — sustainability is the question.
NFLX generates stronger free cash flow (5.1B), providing more financial flexibility.
Monitor REIT - SPECIALTY industry trends, competitive dynamics, and regulatory changes.
Bottom Line
NFLX scores higher overall (72/100 vs 59/100), backed by strong 28.5% margins and 16.2% 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 →Netflix Inc
COMMUNICATION SERVICES · ENTERTAINMENT · USA
Netflix, Inc. is an American over-the-top content platform and production company headquartered in Los Gatos, California. Netflix was founded in 1997 by Reed Hastings and Marc Randolph in Scotts Valley, California. The company's primary business is a subscription-based streaming service offering online streaming from a library of films and television series, including those produced in-house.
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