$DLR Digital Realty Trust Tape Reports
Per Ticker.id: $DLR Digital Realty Trust Tape Reports — 6 podcast mentions across 1 podcast (30 days), latest 2026-08-26 00:06 UTC.
This is an interesting one. Okay, so DLR is Digital Realty Trust. This is a REIT that builds data centers. They've actually been building these data infrastructure centers for a long time, way before AI was a big thing, when it was just Cloud computing. So their business has boomed, shall we say. Funds from operation went from $6.59 in 2023 to $8.30 this year, then $8.90 next year. So good growth, but you're not looking at the common stock, you are looking at the preferred. So the first thing you always have to do is step back and say, what am I buying? What sector am I buying? What asset allocation? Am I buying? And that is preferred stock, which means that is more fixed income than equity. I know it's called preferred equity, but it's not. It's effectively fixed income because that's what you're getting. You are getting a fixed income off of it. You are not an owner of the company. You are a creditor, which means that you have duration risk, some type of duration risk. Most likely it's going to be long duration, meaning a lot of times these preferreds don't ever expire. They don't ever mature. You just get your dividend. Now it's higher than you're going to get from a bond, for example, or you're going to get from the common stock, but you are taking more risk without getting the upside. In the common stock, they can raise that dividend. Preferred, you're just getting that dividend. And if they go bankrupt, well, you're not as protected as the bondholders because you're lower in the capital structure. You're in between common stock and senior bondholders. So you don't get the upside of common. You don't get protection on the downside as a senior bondholder. You're kind of in the middle, and that's why the yield looks high. And you have longer duration. The problem with this, and then probably why it's— I have to go look at the yield, what the yield is right now. I'm not sure exactly which preferred you're talking about. There are probably different issues here, is that this is becoming an industry that is increasingly higher risk. So for example, if the industry more broadly builds up too much capacity for AI compute right now, that might not seem possible, but certainly can happen.
Justin Klein — InvestTalk · The SaaSpocalypse Debate: Are AI Stocks Disrupting SaaS in 2026? · 2026-08-12DLR is Digital Realty Trust. They are the world's largest cloud and carrier-neutral data center REIT. So they have just over 300 data centers. They are spread across 31 countries and just under 60, uh, metropolitan areas. They have 5,000 customers, which includes every single hyperscaler. And so they are benefiting from a lot of this AI spending that has been pushing the market higher for quite some time. There's a reason why, even as rate expectations tick up, this REIT that, you know, remember, REITs typically perform as bond proxies— REITs, utilities, staples. So if rates tend to go higher, what usually happens is reprices fall. That's been the case over the past 3 months, but year to date, this thing's up 24.4%. 4.7%. It's outperforming its industry by just over 10% on the year. Looks like it, uh, reported earnings, Q2 earnings, a couple weeks ago, 2 weeks ago. That was pretty good. I mean, they had record core funds from operation, which is the thing that you really care about when it comes to REITs. And you had, more importantly I would say from a market perspective, you had guidance being raised for the second consecutive quarter. A lot of the big benefits to companies that are participating in AI CapEx, receiving that CapEx is backlog. And I mean, they have a huge backlog. It's just under $2 billion. And so with these records, you know, what has been going on here, I think that with the overall AI theme, right, you've seen a bit of a pullback in, in some of those AI adjacent names. Certainly memory has been one of them.— you're starting to see maybe a little bit of hesitation from the market with respect to, okay, are there bottlenecks out there? One people say is memory. Certainly the situation in the Middle East that is hurting input materials for semiconductors could be a bottleneck. Another is a lot of people don't want data centers in their backyard. Now, is part of that drawdown that? Is another part of it that this thing is trading at a pretty expensive multiple compared to, to where it's been? I mean, its price-to-book value is really at an all-time high here. It's had a run. Is it just, is it just turning a bit back around? That's entirely possible.
Luke Guerrero — InvestTalk · The AI Arms Race: Is the US Lead Over China Already Gone? · 2026-08-07I think you're trying to get exposure to the AI theme with far less volatility and you're an income-focused investor. I think this company has a lot that is, that is going for it. I worry that with a lot of the companies that are touched by that secular driver though, that structurally speaking, they've run up a lot. The market's a bit more hesitant, and AI infrastructure as a theme may see a bit of a rotation out of it over the next 6 months. So I hesitate to enter into a position here, uh, not just because of its valuation concerns, but because you're seeing a bit of poor momentum, and you've seen that over the past 3 months. That is Digital Realty Trust, ticker DLR. Thanks for the call. Well, we had a great show yesterday. We looked into the story, uh, focused on the Iran peace deal, or rather signals about a deal, and you know how to invest when there's all this volatility, when headlines are moving markets. Justin also answered a listener question on a relatively unknown company called the Walt Disney Corporation. So if you happen to miss it, I encourage you to check out yesterday's episode. And remember, the best way to never miss an episode of Invest Talk is to subscribe wherever you get your podcasts. On to today, where my main focus point is about the AI arms race and asks the question, is the US lead over China already gone? There was a provocative new op-ed that I saw that argued the US has all but lost its advantage over China, just as hyperscalers are posting massive, massive earnings from infrastructure spending. So we'll take a look at what this competitive shift means for technology investors, all investors really, and long-term US economic leadership. Also touch on the yen intervention between Japan and the Treasury. And I would say a side effect of most Treasury Fed policy, unintended consequences. Also touch on another story about AI and not just about who's leading, but how aside from these companies, it's really done a lot to transform the American economy. And should we have time at the end of the show, I always love— why don't bad way to phrase it. I don't like bringing you stories about scams, but I like informing you in order for you to protect yourself.
Luke Guerrero — InvestTalk · The AI Arms Race: Is the US Lead Over China Already Gone? · 2026-08-07