WallStSmart

Digital Realty Trust Inc (DLR)vsReady Capital Corp (RC)

VS

Smart Verdict

WallStSmart Research — data-driven comparison

Digital Realty Trust Inc generates -2751% more annual revenue ($6.31B vs $-238.20M). DLR leads profitability with a 21.8% profit margin vs 0.0%. RC appears more attractively valued with a PEG of 2.74. 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

RC

Buy

54

out of 100

Grade: C-

Growth: 6.7Profit: 4.5Value: 4.0Quality: 4.5
Piotroski: 6/9Altman Z: 0.17
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

Intrinsic value data unavailable for RC.

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

RC3 strengths · Avg: 10.0/10
Price/BookValuation
0.2x10/10

Reasonable price relative to book value

Operating MarginProfitability
162.7%10/10

Strong operational efficiency at 162.7%

EPS GrowthGrowth
305.3%10/10

Earnings expanding 305.3% YoY

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

RC4 concerns · Avg: 3.0/10
Revenue GrowthGrowth
1.0%4/10

1.0% revenue growth

Market CapQuality
$274.80M3/10

Smaller company, higher risk/reward

Profit MarginProfitability
0.0%3/10

0.0% margin — thin

PEG RatioValuation
2.742/10

Expensive relative to growth rate

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 : RC

The strongest argument for RC centers on Price/Book, Operating Margin, EPS Growth.

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 : RC

The primary concerns for RC are Revenue Growth, Market Cap, Profit Margin. Debt-to-equity of 3.43 is elevated, increasing financial risk.

Key Dynamics to Monitor

DLR profiles as a growth stock while RC is a value play — different risk/reward profiles.

RC carries more volatility with a beta of 1.49 — expect wider price swings.

DLR is growing revenue faster at 16.7% — sustainability is the question.

RC generates stronger free cash flow (590M), providing more financial flexibility.

Bottom Line

DLR scores higher overall (61/100 vs 54/100), 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.

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Ready Capital Corp

REAL ESTATE · REIT - MORTGAGE · USA

Ready Capital Corporation, is a real estate finance company in the United States. The company is headquartered in New York, New York.

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