Digital Realty Trust Inc (DLR)vsStarbucks Corporation (SBUX)
DLR
Digital Realty Trust Inc
$194.56
-0.01%
REAL ESTATE · Cap: $71.36B
SBUX
Starbucks Corporation
$105.50
+8.45%
CONSUMER CYCLICAL · Cap: $120.20B
Smart Verdict
WallStSmart Research — data-driven comparison
Starbucks Corporation generates 497% more annual revenue ($37.70B vs $6.31B). DLR leads profitability with a 21.8% profit margin vs 3.6%. SBUX appears more attractively valued with a PEG of 1.68. DLR earns a higher WallStSmart Score of 61/100 (C+).
DLR
Buy61
out of 100
Grade: C+
SBUX
Hold39
out of 100
Grade: F
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
+25.4%
Fair Value
$132.83
Current Price
$105.50
$27.33 discount
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
Large-cap with strong market position
Generating 1.3B in free cash flow
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
ROE of 0.0% — below average capital efficiency
3.6% margin — thin
Weak financial health signals
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 : SBUX
The strongest argument for SBUX centers on Market Cap, Free Cash Flow.
Bear Case : DLR
The primary concerns for DLR are Return on Equity, Debt/Equity, PEG Ratio. A P/E of 53.2x leaves little room for execution misses.
Bear Case : SBUX
The primary concerns for SBUX are PEG Ratio, Return on Equity, Profit Margin. A P/E of 80.5x leaves little room for execution misses. Thin 3.6% margins leave little buffer for downturns.
Key Dynamics to Monitor
DLR profiles as a growth stock while SBUX is a value play — different risk/reward profiles.
DLR carries more volatility with a beta of 1.09 — expect wider price swings.
DLR is growing revenue faster at 16.7% — sustainability is the question.
SBUX generates stronger free cash flow (1.3B), providing more financial flexibility.
Bottom Line
DLR scores higher overall (61/100 vs 39/100), backed by strong 21.8% margins and 16.7% revenue growth. SBUX offers better value entry with a 25.4% 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.
Visit Website →Starbucks Corporation
CONSUMER CYCLICAL · RESTAURANTS · USA
Starbucks Corporation is an American multinational chain of coffeehouses and roastery reserves headquartered in Seattle, Washington. As the world's largest coffeehouse chain, Starbucks is seen to be the main representation of the United States' second wave of coffee culture.
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